Research on Privacy Protection in Digital Currency Transactions Based on Inverse Homomorphic Symmetric QHSE Encryption

Blockchain technology supports trusted data sharing, but transparency can easily lead to privacy breaches. Existing privacy protection schemes such as Monero and Zerocash have the risk of leakage and high computational overhead, and most homomorphic encryption schemes also face the risk of private key leakage. Therefore, this article proposes a QHSE algorithm based on inverse homomorphic symmetric encryption for privacy protection in digital currency transactions. QHSE (Quasi Homomorphic Symmetric Encryption) utilizes the Diffie Hellman protocol to generate independent symmetric keys for each transaction, ensuring that even if a single key is leaked, it does not affect the security of other transactions. QHSE supports addition, multiplication, and comparison operations, and miners can verify transactions without obtaining plaintext and keys. Experiments have shown that QHSE outperforms traditional solutions in terms of computational and communication overhead, and has the advantages of high efficiency and security.