The importance of privacy in cryptocurrency: moneto and zcash lead the load
As cryptocurrency adoption continues to grow, worries with safety, transparency and privacy of the user have become increasingly relevant. In a world where transactions are often publicly recorded without any real responsibility or supervision, it is more important than ever than cryptocurrencies privacy of the user.
What is privacy in cryptocurrency?
Privacy in cryptocurrency refers to users’ ability to maintain their history of transactions, portfolio balances and other confidential information from third parties. This means that even when a user wants to send money online, he cannot be tracked or recorded by anyone else. In traditional coins like Bitcoin, this can happen because each transaction is publicly visible in blockchain.
MONERO: The dark wallet with built -in privacy
A cryptocurrency that is at the forefront of privacy innovation is the Monero (XMR). Launched in 2014, Moneto was created by Martin Mendoza and Nick Prometheus, a Swiss cryptographer. Its main features include:
* Ring Subscriptions : Monet uses ring signatures to anonymize transactions. They are similar to traditional paper checks, but instead of being designed in a physical check, they are digitally signed and transmitted by the network.
* ZERO KNOWLEDGE PROOFS (ZKP) : Monero also uses ZKP, allowing users to prove the validity of their transactions without revealing their royal addresses or portfolio balances.
This approach makes almost impossible for anyone else to intercept and read their transaction history. As each user’s ring signature is unique, even if you try to track a specific sender, you will not be able to discover your true identity.
Zcash: High Privacy Cryptocurrency
Another cryptocurrency that prioritizes user privacy is Zcash (ZEC). Introduced in 2016 by Evan Wirth and Ross Ulbricht, Zcash was designed with several important features:
* ZERO-KNOWLEDGE PROOF
: Like Moneto, Zcash also depends on ZKP for its private transactions. However, it goes a step further, incorporating a more advanced security protocol called zero knowledge tests.
* Privatend : The ZCash Privatend feature allows users to send money without revealing their portfolio addresses or balances.
This means that even if you want to use a third party service to check the authenticity of your transactions, you can’t do so because you would reveal confidential information about your wallet.
The benefits of privacy in cryptocurrency
So why is the privacy of cryptocurrency so important? Here are just a few benefits:
* Security : By maintaining private transactions history, users reduce the risk of being invaded or compromised.
* Anonymous : Users can keep anonymous by sending and receiving money online.
* Trust : When users feel safe, it is more likely to trust cryptocurrency and your network.
Conclusion
As cryptocurrency adoption continues to grow, it is clear that privacy remains a priority. MONERO and ZCASH led the load in this area, demonstrating that it is possible to create private cryptocurrencies without sacrificing security or functionality. As users require greater safety and protection against third party tracking, these innovative currencies are ready to define new cryptocurrency standards.
Whether you are using one of these two main cryptocurrencies focused on privacy or exploring other options, such as Bitcoin Cash or DASH, make sure you understand the importance of maintaining particular transactions history.