Towards Better Statistical Understanding of Watermarking LLMs
Abstract
In this paper, we study the problem of watermarking large language models (LLMs). We consider the trade-off between model distortion and detection ability and formulate it as a constrained optimization problem based on the red-green list watermarking algorithm. We show that the optimal solution to the optimization problem enjoys a nice analytical property which provides a better understanding and inspires the algorithm design for the watermarking process. We develop an online dual gradient ascent watermarking algorithm in light of this optimization formulation and prove its asymptotic Pareto optimality between model distortion and detection ability. Such a result guarantees an averaged increased green list probability and henceforth detection ability explicitly (in contrast to previous results). Moreover, we provide a systematic discussion on the choice of the model distortion metrics for the watermarking problem. We justify our choice of KL divergence and present issues with the existing criteria of “distortion-free” and perplexity. Finally, we empirically evaluate our algorithms on extensive datasets against benchmark algorithms.
Fields of Study & Subjects
Advanced Steganography and Watermarking Techniques
Digital Rights Management and Security
Internet Traffic Analysis and Secure E-voting
Publication details
- Journal / source
- Journal of the American Statistical Association
- Publisher
- Informa UK Limited
- Volume
- 121
- Issue
- 553
- Pages
- 247–258
- Publication date
- 2 January 2026
- Language
- EN