A paper accepted by INFOCOM 2013 claims to:
1) Show that our view of Kleinberg is unrealistic because we do not have the 
sideways lattice links - the closest connection to the target isn't always 
closer to the target than we've been so far.
2) Prove that we can't have polylog routing, and show that perverse cases where 
the best route will take us further away are increasingly common as networks 
grow, and
3) Propose a new algorithm that is provably polylog.
http://www.p2p.tu-darmstadt.de/publications/details/?no_cache=1&tx_bibtex_pi1[pub_id]=TUD-CS-2013-0036
("A Contribution to Analyzing and Enhancing Darknet Routing", Roos & Strufe)

Performance simulations show it is similar to ours or better depending on the 
properties of the network, via a parameter C, "the maximal distance to the 
closest neighbor over all nodes", i.e. if our closest links are close enough, 
our current algorithm should work, but if not, their version is significantly 
faster.

The new algorithm changes backtracking and keeps a list of marked nodes - all 
nodes visited AFAICS, or at least nodes where it backtracked. Obviously this 
has security implications, but on darknet this is less important than on 
opennet, and we really should have a separate tunnel setup system for the very 
paranoid (e.g. based on Pisces).

Having said that:
- All the topologies simulated showed acceptable HTL for a 100,000 node 
network, even using our current simplistic algorithm. Granted that's somewhat 
idealized...
- We can use redundancy to some degree to avoid perverse parts of the keyspace 
breaking important functionality. I've suspected that "perverse parts of the 
keyspace" exist for some time, and that seems to be the paper's main concern; 
and it does not solve the problem either, it merely limits it.
- Right now hardly anyone uses darknet, and Michael Grube still hasn't finished 
dealing with Pitch Black.

His homepage also has some rather vague ideas under "open theses" on censorship 
attacks on opennet via flooding; I suspect this was written by his supervisor 
who may not have investigated the matter fully. IMHO flooding opennet is a 
rather expensive attack, it's probably much easier to MAST your target and take 
them offline IRL! :)
http://www.p2p.tu-darmstadt.de/people/stefanie-roos/

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