Earlier quoted context omitted.
Properly implemented rate limiting would be a better way to achieve that though. That is were the 'blinding signature' part comes in: to give the server the possibility to intelligently rate limit.
Rate limiting is a terrible solution to this sort of problem IMO. It just forces the attacker to be patient, but they will eventually get what they want, which is name/phone number pairs of the entire numeric space of phone numbers. His solution is problematic because it distributes the burdain to the user, and anyone who's gotten massive numbers of friend requests on a chat service can attest to how unfriendly that…
Given that context, due to the nature of the problem, rate limiting is by definition the -only- solution to the problem (if I'm understanding the problem correctly.)
You do have a point that perhaps the question we should be asking should be 'how do we detect mutual connections,' but that's another story altogether.