Marcus Richards
As digital technology advances, concerns about the security of sensitive data continue to grow. This problem will only get worse over the years, and more and more people are turning to anonymous coins to protect their financial transactions from prying and not always friendly eyes.
Are Bitcoin transactions secure enough?
Although Bitcoin was positioned as an anonymous digital currency, this is not entirely true. All transactions are recorded in the blockchain and remain there forever in the public domain.
The more often a person performs any financial transactions, the more data about his activity is stored in the blockchain. Collecting information bit by bit for a long time, it is still possible to establish the identity of the owner. This is not yet widely practiced, only because such an investigation is very long and expensive.
Privacy Coins
The thought of Bitcoin’s lack of privacy and an escalating problem did not come up yesterday. After modifying the Bitcoin algorithms in 2014, the Xcoin coin entered the market, later relaunched under the name DASH. Around the same time, the famous Monero appeared – the absolute champion in terms of anonymity.
Now the TOP-3 of the most confidential cryptocurrencies looks like this:
Monero (XMR)
This coin is confidential by default, while other cryptocurrencies have a choice between two levels of transaction privacy protection. Confidentiality in the Monero blockchain is achieved through the use of linked spontaneous group signatures, hidden addresses and ring signatures.
Moreover, further improvement of the mechanisms for ensuring confidentiality has already been announced, which will hide even the very fact of using Monero.
Buy or XMR to BTC exchange available on well-known exchanges Bitfinex, OKEx, Huobi Global, Binance, HBTC, Kraken.
DASH
The coin was created on the basis of the Bitcoin algorithm, but it is not a fork in the literal sense of the word. Unlike Monero DASH
is not anonymous by default, users can use the PrivateSend function at their own discretion. Dash hides transactions by shuffling transactions.
In addition to the mentioned exchanges Bitfinex, OKEx, Huobi Global, Binance, HBTC, and Kraken DASH is available for purchase and trading on Poloniex, Coinbase, Digifinex, and CEX.
Zcash (ZEC)
Zcash is a fork of Bitcoin launched in 2016. The network provides the ability to select the degree of transaction protection. Addresses starting with “t” are transparent, and with “z” so-called “escaped addresses” begin.
Zcash is listed on Coinbase, Kraken, Bitfinex, Huobi Global, Bithumb, Gemini, Binance, OKEx, and Poloniex.
Why do we need confidential cryptocurrencies
There is a widespread belief in society that confidential coins are used only for illegal operations, be it drug trafficking, terrorist financing or money laundering. However, in reality, there are many situations when such protection is really really needed by obedient citizens. It can be:
- Political contributions. It can be unsafe to openly express one’s civic position and support a particular political direction. Using an anonymous digital coin, a person can make political contributions without drawing attention.
- Conducting business inconspicuously. Anonymous money transfers between partner companies make it possible to keep business relationships secret from competitors.
How to buy anonymous coins with LetsExchange
The super-confidentiality of these coins solves some of the problems of users, but creates problems for the coins themselves. If law-abiding citizens use them for their own protection, then all sorts of dark personalities use anonymous coins for illegal purposes in the same way.
Not wanting to be drawn into scandals, large exchanges avoid transactions with confidential cryptocurrencies and are gradually abandoning them.
Finding a place where you can exchange DASH or Zkash can be quite difficult and the online crypto exchange LetsExchange simplifies this task. To buy any confidential coin, it is enough to act by filling in the exchange widget according to the standard algorithm:
- In the upper field, select the name of the coin for sale and indicate the amount.
- In the lower field, select the name of the confidential coin for purchase.
- Indicate the address of your wallet.
- Make a deposit.
- Press the “Exchange” button.
The program itself will find current deals on all available exchanges, choose the most profitable one and offer it to you. After confirming the operation, the transaction will be completed and the coins will be credited to your wallet. Registration on the platform is not required.
