Bitcoin Is Not Private.

0 18

Written by

No bio yet...

3 years ago

Topics: Bitcoin, Privacy, Monero

The Biggest misconception about Bitcoin that it is Private, But it Isn't, Bitcoin uses something called a Public ledger, what that means is in order to proof a transaction from A to B, all the details about the transaction will sit on the Blockchain forever to verify the transaction details, Both the sender and receiver identity is covered by the use of public key but it only takes one person who can do some work to track your spendings and all your wallet transactions is not anonymous anymore.

This Is a fundamental flew in Bitcoin and it's something that is risky for some and life threatening for another, let me use an example, You live in a country which is unsafe, you went to the store and bought a coffee using Bitcoin, every person that has the details from this transaction can see how much is in your wallet and track you down (especially if you're rich) which mean a great threat for your safety.

even Satoshi Nakamoto the founder of bitcoin addressed his concern for Bitcoin privacy on his forum

Another problem with bitcoin is that every bitcoin can be tracked to it's former user, which means that if you receive bitcoin that was connected to a criminal activity your account can be investigated using the public record because they try to track where the money came from, the coin will be considered "tainted" and exchanges can stop the activity on your account until you proven to be innocent.

Imagine posting all your bank transaction to social media and cannot delete them forever, you don't know how it will affect you in the long run, nobody knows, that the thing, social norms and laws are things that are changing rapidly and not always use logic to justify them, what you are doing right now is totally fine but what makes you think it will be in 10 years, 20?, Do you really want to lose your job in the future for that one time you bought a PornHub premium at a rough time?.

So Which coins are not trackable? Well there are dozens of Privacy coins on the market such as XMR, ZEC, DASH, ARRR, ONION.

I am going to focus on Monero (XMR) on this article but you can DYOR which one is best for you.

Monero

Monero founded in 2014 with a strong focus on privacy, the founders mission was to create a true digital cash that cannot be tracked by outsiders making it 100% private and even the recipient can't know where you got the money as your transaction history is private.

Everybody can mine Monero on the computer unlike Bitcoin which is not profitable for ordinary people to mine so it's more depended on big mining facilities, Monero mining Is more decentralized and you can use your spare room on your computer for small profit which can bring new people to the space and that's always good.

To receive Monero you don't need to use your public address, when someone sends you Monero they create a new anonymous address with a password only you can use to confirm the transaction, every transaction is creating a new anonymous address which is helping to unsure the privacy of the network.

For confusing the sender who try to keep track of the transaction (he is the only one who have the stealth address) Monero is using something called Ring Signatures which is a mixer that put all the addresses that is about to be send all together and that create total anonymity so even there is a barrier between the sender and receiver.

Monero reputation is not represented well in the media because of his involvement in activities like selling drugs, tax evasions, funding controversial group... but this is part of the real free market, borderless money that is untraceable and private is the enemy to the government, this money has a real use case and governments are not in control of it anymore so they try to crack it but can't, for now it's impossible, they cant try to ban it but it will only make it stronger!.

You can buy Monero with no KYC in

Local Monero (Referral)

Tor version

Bizq