Auditor-Only Linkability

Definition ∞ Auditor-Only Linkability describes a system where transaction details are viewable exclusively by authorized auditors. This cryptographic property allows designated external parties, such as regulatory bodies or financial examiners, to connect specific transaction records or account data that remain private to the general public. It achieves a balance between privacy for users and the necessity for oversight and compliance within a digital ledger system. The design ensures that sensitive financial flows can be verified without compromising general user anonymity.
Context ∞ The discussion surrounding Auditor-Only Linkability centers on its role in facilitating regulatory acceptance of privacy-enhancing blockchain technologies. While offering a solution for compliance, concerns sometimes arise regarding the potential for misuse of such access and the precise scope of auditor privileges. Future implementations will likely refine access controls and accountability mechanisms for designated auditors.