Elliptic Curve Diffie-Hellman
Elliptic Curve Diffie-Hellman is a key agreement protocol that allows two parties to establish a shared secret over an insecure channel. In the context of stealth addresses, it is used to allow a sender to derive a unique public key for the receiver that only the receiver can spend.
The sender uses the receiver's public key and their own private key to compute a shared secret, which is then used to generate the stealth address. This ensures that only the intended recipient can detect and claim the funds.
It is a highly secure and efficient way to manage privacy without requiring prior communication between the parties. This mechanism is foundational to many privacy-preserving protocols.
It allows for secure, anonymous, and decentralized value transfer.