Secure Vickrey auctions without threshold trust

  • Authors:
  • Helger Lipmaa;N. Asokan;Valtteri Niemi

  • Affiliations:
  • Laboratory for Theoretical Computer Science, Department of Computer Science and Engineering, Helsinki University of Technology, Espoo, Finland;Nokia Research Center, Nokia Group, Finland;Nokia Research Center, Nokia Group, Finland

  • Venue:
  • FC'02 Proceedings of the 6th international conference on Financial cryptography
  • Year:
  • 2002

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Abstract

We argue that threshold trust is not an option in most of the real-life electronic auctions. We then propose two new cryptographic Vickrey auction schemes that involve, apart from the bidders and the seller S, an auction authority A so that unless S and A collude the outcome of auctions will be correct, and moreover, S will not get any information about the bids, while A will learn bid statistics. Further extensions make it possible to decrease damage that colluding S and A can do, and to construct (m + 1)st price auction schemes. The communication complexity between the S and A in medium-size auctions is at least one order of magnitude less than in the Naor-Pinkas-Sumner scheme.