Marking Code Without Breaking It: Code Watermarking for Detecting LLM-Generated Code

Abstract: Code watermarking identifies AI-generated code by embedding patterns into the code during generation. Effective watermarking requires meeting two key conditions: the watermark should be reliably detectable, and the code should retain its original functionality. However, existing methods often modify tokens that are critical for program logic, such as keywords in conditional expressions or operators in arithmetic computations. These modifications can cause syntax errors or functional failures, limiting the practical use of watermarking. We present STONE, a method that preserves functional integrity by selectively inserting watermarks only into non-syntax tokens. By excluding tokens essential for code execution, STONE minimizes the risk of functional degradation. In addition, we introduce CWEM, a comprehensive evaluation metric that evaluates watermarking techniques based on correctness, detectability, and naturalness. While correctness and detectability have been widely used, naturalness remains underexplored despite its importance. Unnatural patterns can reveal the presence of a watermark, making it easier for adversaries to remove. We evaluate STONE using CWEM and compare its performance with the state-of-the-art approach. The results show that STONE achieves an average improvement of 7.69% in CWEM across Python, C++, and Java. Our code is available in https://github.com/inistory/STONE-watermarking/.