The strengths of Ecash are its full anonymity and security. The electronic
cash used is untraceable, due to the blind signatures
used when generating coins.
By employing secure protocols using RSA public key cryptography, the
Ecash system is safe from eavesdropping, and
message tampering. Coins cannot be stolen while they are in transit.
However, the protection of coins on the local machine
could be strengthened by password protection and encryption.
The main problem with Ecash may be the size of the database of spent
coins. If a large number of people start using the system,
the size of this database could become very large and unmanageable.
Keeping a database of the serial number of every coin
ever spent in the system is not a scalable solution. Digicash plans
to use multiple banks each minting and managing their own
currency with interbank clearing to handle the problems of scalability.
It seems likely that the bank host machine has an internal
scalable structure so that it can be set up not only for a 10,000 user
bank, but also for a 1,000,000 user bank. Under the
circumstances, the task of maintaining and querying a database of spent
coins is probably beyond today's state-of-the-art
database systems.