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zeekayandHanzo Dev 70f6883235 Restore the regulated-markets papers; Lux holds the licences
A July commit removed eight papers on the premise "no license — DEX/non-custodial
only". That premise is wrong: Lux operates an ATS, a broker-dealer, a transfer
agent and a bank, and this material is resold at lux.financial. The merge that
brought main in preserved the removal because the commit stated a reason, which
is how a stale reason outlives the fact it rested on.

Back, at the versions main carried — main never received the removal, so its
copies are the later ones: the ATS architecture, the security-token standard,
smart order routing, institutional custody, MPC custody, post-quantum securities,
the SSB partnership and the CoinBridge brief. 83 files.

Co-authored-by: Hanzo Dev <[email protected]>
2026-08-30 15:58:05 -07:00

123 lines
4.1 KiB
TeX

\section{Post-Quantum Algorithms}
\label{sec:algorithms}
%% =====================================================================
\subsection{ML-KEM (FIPS 203): Key Encapsulation}
\begin{definition}[Module-Lattice-Based Key Encapsulation]
ML-KEM provides IND-CCA2 secure key encapsulation based on the
Module Learning With Errors (MLWE) problem. It replaces ECDH for
key agreement.
\begin{itemize}[nosep]
\item \textbf{KeyGen} $\rightarrow (pk, sk)$: generates a lattice-based
key pair.
\item \textbf{Encapsulate}$(pk) \rightarrow (ct, ss)$: produces a
ciphertext $ct$ and shared secret $ss$.
\item \textbf{Decapsulate}$(sk, ct) \rightarrow ss$: recovers the
shared secret.
\end{itemize}
\end{definition}
ML-KEM is used on the Lux network for:
\begin{itemize}[nosep]
\item Encrypted peer-to-peer communication between validators.
\item Key agreement for threshold FHE key distribution.
\item Secure channel establishment for MPC signing sessions.
\end{itemize}
\begin{table}[h]
\centering
\begin{tabular}{lrrrrr}
\toprule
\textbf{Level} & \textbf{$k$} & \textbf{PK (B)} & \textbf{SK (B)} &
\textbf{CT (B)} & \textbf{SS (B)} \\
\midrule
ML-KEM-512 (Level 1) & 2 & 800 & 1,632 & 768 & 32 \\
ML-KEM-768 (Level 3) & 3 & 1,184 & 2,400 & 1,088 & 32 \\
ML-KEM-1024 (Level 5) & 4 & 1,568 & 3,168 & 1,568 & 32 \\
\bottomrule
\end{tabular}
\caption{ML-KEM parameter sizes by security level.}
\label{tab:mlkem-sizes}
\end{table}
\subsection{ML-DSA (FIPS 204): Digital Signatures}
\begin{definition}[Module-Lattice-Based Digital Signature]
ML-DSA provides EUF-CMA secure digital signatures based on the MLWE
and Module-SIS problems. It replaces ECDSA and Ed25519 for transaction
signing.
\begin{itemize}[nosep]
\item \textbf{KeyGen} $\rightarrow (pk, sk)$: generates a lattice-based
signing key pair.
\item \textbf{Sign}$(sk, m) \rightarrow \sigma$: produces a signature
on message $m$.
\item \textbf{Verify}$(pk, m, \sigma) \rightarrow \{0, 1\}$: verifies
the signature.
\end{itemize}
\end{definition}
ML-DSA is the primary post-quantum signature scheme for on-chain
operations: transaction signing, smart contract authorization, and
validator attestations.
\begin{table}[h]
\centering
\begin{tabular}{lrrrr}
\toprule
\textbf{Level} & \textbf{PK (B)} & \textbf{SK (B)} &
\textbf{Sig (B)} & \textbf{Security} \\
\midrule
ML-DSA-44 (Level 2) & 1,312 & 2,560 & 2,420 & 128-bit \\
ML-DSA-65 (Level 3) & 1,952 & 4,032 & 3,309 & 192-bit \\
ML-DSA-87 (Level 5) & 2,592 & 4,896 & 4,627 & 256-bit \\
\bottomrule
\end{tabular}
\caption{ML-DSA parameter sizes by security level.}
\label{tab:mldsa-sizes}
\end{table}
\subsection{SLH-DSA (FIPS 205): Hash-Based Signatures}
\begin{definition}[Stateless Hash-Based Digital Signature]
SLH-DSA provides EUF-CMA secure digital signatures based solely on the
security of hash functions. Unlike ML-DSA (which relies on lattice
assumptions), SLH-DSA's security rests on the one-wayness and
collision-resistance of SHA-256 / SHAKE-256. It serves as a
conservative fallback: even if lattice assumptions are broken by
future advances, SLH-DSA remains secure as long as hash functions
are secure.
\end{definition}
SLH-DSA is used for:
\begin{itemize}[nosep]
\item Root of trust signatures (genesis block, validator set changes).
\item Long-term archival signatures on regulatory records.
\item Fallback signing if ML-DSA is ever weakened.
\end{itemize}
\begin{table}[h]
\centering
\begin{tabular}{lrrrr}
\toprule
\textbf{Variant} & \textbf{PK (B)} & \textbf{SK (B)} &
\textbf{Sig (B)} & \textbf{Note} \\
\midrule
SLH-DSA-128s & 32 & 64 & 7,856 & Small, slow \\
SLH-DSA-128f & 32 & 64 & 17,088 & Fast, large sig \\
SLH-DSA-192s & 48 & 96 & 16,224 & Small, slow \\
SLH-DSA-192f & 48 & 96 & 35,664 & Fast, large sig \\
SLH-DSA-256s & 64 & 128 & 29,792 & Small, slow \\
SLH-DSA-256f & 64 & 128 & 49,856 & Fast, large sig \\
\bottomrule
\end{tabular}
\caption{SLH-DSA parameter sizes. The ``s'' variants minimize signature
size; the ``f'' variants minimize signing time.}
\label{tab:slhdsa-sizes}
\end{table}
%% =====================================================================