I'm Honest, I Swear! - Credible Threats of Private Key Exposure

Explores methods for creating credible threats that disincentivize private key exposure in Bitcoin smart contracts, using Discreet Log Contract oracles as a concrete example. Four approaches are analyzed: informational loss (encrypting sensitive data), reputational loss (track record), energy loss (proof-of-work on key generation), and financial loss (multisig escrow, off-chain PTLCs via Lightning, and public timelock bounties). Each method's trade-offs are examined, with the conclusion that a combination of approaches best minimizes trust requirements for DLC oracles.