Throughout the rapidly expanding cryptocurrency industry, new crypto coins are regularly being introduced, each with its purpose, use cases, and developer goals. Most importantly, More cryptocurrencies are being developed that focus on privacy and security for users. Crypto transactions are already reasonably private, which is part of the reason why they have been more commonly used over recent years.
However, there are still a lot of improvements to be made, as crypto transactions are not yet fully anonymous. After all, every transaction that occurs on the blockchain network is recorded using the sender and receiver’s wallet addresses. This means that although outsiders cannot see a user’s true identity, they can still find out which transactions they are a part of. This is what makes the network pseudonymous rather than anonymous.
The good news is that they are already a wide array of privacy-focused coins that have been created with advanced technology and utilise various features that help them to increase their user’s overall privacy when making transactions. Private cryptocurrencies can be very useful for all kinds of users, especially those based in restrictive countries. So, we want to discuss some of the top private cryptocurrencies that can be traded right now!
How to Invest in Private Cryptocurrencies Now
Do you want to start investing in private cryptocurrencies? If you already know which coins you want to invest in, then it’s time for you to start buying them! However, this might be easier said than done, especially if you’re new to the trading world. If you think you’ll need additional help when trading crypto, then you should consider using a crypto platform to connect with a broker.
There are tons of crypto platforms around, but if you’re after first-rate brokers who can help you trade confidently, then we suggest you try out Biticodes-app.com. This useful platform effectively improves the first steps taken by any beginner trader who wants to try their luck with crypto trading. After creating an account on this crypto platform, you’ll be paired with a broker who can best help you as you start trading. You’ll have plenty of interesting tools and resources at your disposal, making your trading experience more streamlined and less stressful!
The Top 5 Most Private Cryptocurrencies
Want to improve your online privacy? Check out some of the most privacy-oriented cryptocurrencies you can invest in right now!
Monero is one of the most popular privacy-based cryptocurrencies and has built a solid reputation through its efforts to anonymise users. This decentralised crypto was launched in 2014, with the developer’s main goal being to create a fully private and secure asset. All Monero transaction details are obfuscated, and several features have been implemented to provide almost full anonymity for users. The main feature is Bulletproods, a zero-knowledge proving system that allows translations to be made with their value being revealed.
Other notable features include stealth addresses which are essentially burner addresses that are generated by each sender, and Dandelion++, a protocol that makes it much more difficult for a transaction to be linked to an IP address.
Dash is a crypto based on Bitcoin that facilitates fast and cheap transactions around the world. But that isn’t the only reason why this cryptocurrency is so well-known. Dash’s uniqueness comes from its masternodes system, a specialised server that has a copy of the entire Dash blockchain.
Once users own 1,000 Dash, they are able to run masternodes to access various features. This includes InstantSend, a feature that enables transactions to be fully complete within 2 seconds, and CoinJoin, an anonymisation process of “running a sequence of transactions such that an observer has difficulty tracing transaction history.” This valuable feature makes Dash another incredibly private cryptocurrency that is favoured by privacy advocates.
Zcash was launched in 2016 and has remained in the crypto limelight since then due to its confidential, quick, and low-cost translations. This cryptocurrency was also the first to implement zk-SNARKs, a zero-knowledge cryptography that provides users with the strongest level of privacy available in any digital asset. There are two types of addresses to choose from; private (z-addresses) and transparent (t-addresses), allowing up to 4 different types of transactions – T-T, Z-Z, T-Z, and Z-T.
T-T transactions work similarly to Bitcoin transactions, with sender and receiver information being publicly visible. With Z-Z transactions, on the other hand, both addresses and the transaction value are encrypted, preventing them from being publicly visible. This is the most secure way to make transactions using Zcash.
Bytecoin claims to be the first fully private and untraceable cryptocurrency. By implementing ring signature technology, Bytecoin allows any member from a group of users who each has keys to perform the digital signature. This prevents anyone from being able to determine which group member’s key was used to make the signature, enabling an anonymous payment scheme.
This cryptocurrency also prevents outsiders from identifying which payments users have received by providing users with multiple one-time addresses. This means that different transactions cannot be linked together to gain more knowledge regarding a specific user. By making both transactions and addresses unlinkable, as well as ensuring that all payments are untraceable through these features, Bytecoin has created a safe space for both crypto and privacy enthusiasts to anonymously make transactions.
Verge is a user-friendly and everyday crypto that aims to simplify payments to make crypto transactions as flexible and accessible as possible. Launched in 2014 as DogeCoinDark but later rebranded in 2016, Verge manages to offer anonymous transactions by obfuscating both the sender’s and the receiver’s IP address and location. Unlike most other private cryptocurrencies, Verge does not rely on cryptography but instead uses I2P and TIR networks to hide its users’ location when they make transactions, making it yet another highly secure option for privacy advocates.
To conclude, there are plenty of options for those who want to have the most private and anonymous crypto experience possible. Just remember, if you’re interested in trading any of the cryptocurrencies that we have mentioned, be sure to do your own research before investing so you fully understand how the coin works, what features are available, and what you can get from trading it.