So, while this can be a unique concept for public entities that intend to maintain transparency, the fact is we don’t always want everyone to view the balance we have in our accounts or to who we are sending the money. Additionally, users are always concerned about the safety of their accounts from hackers since they can easily spot the large account holders and target them. This is where the concept of a privacy coin comes into the picture.
What Is A Privacy Coin And Why Are They Needed
A privacy coin is meant to provide users with certain anonymity or privacy in a decentralized and robust manner. In essence, these coins are innovative cryptos that allow users to enjoy complete anonymity when carrying out blockchain transactions. As a result, both the origins of a transaction and the user identity are fully protected. Privacy coins empower receivers and senders, helping them remain anonymous with different privacy types, such as transaction balances and wallet addresses. With these coins, payments remain private.
So, now that we know what privacy coins are, we must understand why they are needed.
Anyone who wants to know the value of user data must look at companies like Facebook, Amazon, Google, Microsoft, and others who leverage personal data for earning money. They have all been hacked at one point or the other and were thus scrutinized by the government agencies on several occasions. These companies have dominated technology and pushed the privacy limits, resulting in customizing of the individual’s thoughts, ideas, and actions. However, to counter the problems and issues related to privacy, many crypto companies have come up with the concept of privacy coins. These coins give individuals more power and control over their funds while maintaining total privacy.
Current problems for privacy in the crypto space
Even though cryptocurrencies are gaining fast recognition, many problems exist in the crypto space as far as privacy is concerned. Read on to find out more.
While many people advocate the adoption of cryptos and blockchain technology simply because it lets users control their data and keep 3rd parties at bay. But others feel that cryptocurrencies and the technology that supports them infringe upon user privacy. Due to the decentralized nature of cryptocurrencies, any node can access the transactions, actions, and events of users. Thus, users worry about malicious hackers who can trace their public addresses and keys. This reflects that cryptos lack privacy.
Also, since blockchain and cryptos are decentralized, there is no central authority that tracks the malicious users and attackers. Users can thus anonymously hack the system and escape. Since crypto transactions get recorded in blockchain ledgers, they are shared and immutable. This implies that the malicious transactions cannot be reversed by anyone.
Alternatively, the private keys that prove a user’s ownership and control over crypto can also be accessed by malicious attackers. As a result, they access the user’s account and spend the funds. Given that a private key is crucial for accessing and safeguarding assets, users must store them safely. Besides, storing the private keys on the flash drive, telephone or computer can pose serious security risks when the device gets hacked or stolen. On the other hand, if this device is lost, then a user will not be able to access the cryptocurrencies in his/her account anymore.
What Makes A Perfect Cryptocurrency?
Now that we have discovered much about the privacy issues in the crypto space, we must understand what makes a cryptocurrency perfect. Well, whether you are aiming for altcoins or cryptocurrency investing, many elements make them perfect.
Demand: Firstly, it is the demand for the coins that make them ideal for investment. Thus, the higher the demand for a coin, the higher is its value.
Usability: Another aspect that makes crypto perfect is the usability factor. The higher the usability of a coin, the more people will be interested in them. When it comes to cryptocurrency investing, crypto investors and miners focus on the coin’s usability factor.
Transfers: Another element that makes a coin perfect for cryptocurrency investing is how quickly and conveniently it is transferred between users. Also, how easy it is to convert the crypto into other currencies.
Easy to Acquire: A perfect crypto is easy to acquire. Typically, there are three ways in which e-coins can be acquired. These include trading or purchasing them, mining and via faucets, as well as other systems of rewarding.
Community: A perfect cryptocurrency is also supported by a strong community of users. When crypto is pushed into the market by developers and a strong team of followers, including users, investors, and miners, begin to show interest in them. This automatically results in increased interest in cryptos.
Trustless and permissionless: A perfect crypto is trustless and permissionless. Permissionless implies that no third party is involved in voting and giving permission for using or accessing the coin. On the other hand, trustless means that nodes don’t have to trust one another to participate.
Privacy: Lastly, privacy is one of the primary factors that makes a coin ideal for cryptocurrency investing. Your preferred crypto should offer you a degree of privacy or anonymity.
Why Stealth is a main Contender For The Top Privacy Coin?
Contrary to the belief that cryptos such as Bitcoin offer privacy protection, the truth is that the Bitcoin blockchain system and ledger are entirely public. This implies that anyone can inspect the transactions carried out between different accounts on Bitcoin’s blockchain.
This is where privacy coins, such as Stealth come into existence.
Stealth, created in 2014, trades on different international crypto exchanges at present. They are technically advanced and value anonymity and privacy to a large extent. Stealth will implement high-end cryptographic protection to ensure transaction privacy.
So, while experts may claim that Bitcoin and other cryptos offer excellent privacy, they are nowhere close to what traditional payment methods, like wire transfers, cash, and credit cards offer.
Thus, analysts can easily infer the relationships between different addresses, assess individual entities, and reconstruct the social networks using the latest big data tools and techniques. On the other hand, companies and cybercriminals can assess the spending habits of individuals and sell private information. Additionally, malefactors can easily design hacks that further target specific individuals on the basis of their individual spending habits.
Thus, as cryptos become mainstream, privacy has gained a great deal of importance. Stealth offers complete privacy solutions and anonymity through leveraging innovative features, such as seamless TOR integration for the privacy of the network and cryptographically private crypto transactions.
Currently, Bitcoin is one of the widely used digital currencies and enjoys a massive market following simply because the crypto happens to be the first viable technically advanced cryptocurrency. But despite being popular, Bitcoin features a slow design that uses energy-consuming mining to get to consensus.
But two of the main issues with Bitcoin are that they offer irregular as well as slow confirmation times. These properties aren’t fit for POS purchases and cause plenty of online payment issues. This poses a great deal of risk for consumers and merchants. It also poses a great deal of inconvenience for an honest merchant who should either refund the failed process purchases or failed purchases manually and assume the risks posed by Bitcoin pricing swings between processing and payment.
Stealth will soon become the fastest private digital currency. It is fast,feeless, scalable, and private enabled by the high-performing consensus protocol called Junaeth.
Junaeth offers a host of features such as:
Economic system: Stealth’s Junaeth system block validators buy blockchain assets called StealthNodes that come with block signing rights. Since the validation rights are bought and not granted by founders who acquired coins through the premine, Junaeth cannot be controlled by any central entity. Often these entities are interested in their ends and not the blockchain’s value or health.
Novel time-keeping: Junaeth comes with an asynchronous network clock that permits network disruptions, network latency, as well as multithreaded network events processing. While others depend on stringent coordination that produces fragile design, minor consensus-related issues can result in devastating results, such as frozen blockchains. However, the asynchronous network clock of Junaeth is robust to different consensus issues, which result in blockchain forks.
Reputation System: For every block produced by a StealthNode, it acquires XST. The XST amount earned for each block increases when the StealthNode signs additional blocks. This implies that earnings are based only on performance. Thus, Junaeth validators know that producing blocks consistently is the only way they can earn.
Fused Ledger: Stealth makes use of a fused ledger that allows block scheduling with cryptographic privacy which can only be found in Stealth. It consists of a Bitcoin-type UTXO ledger for transferring, as well as an account based ledger for StealthNode block rewards.
Junaeth is designed to support quick and complete cryptographic privacy. This makes it a highly technically efficient consensus protocol in the cryptocurrency investing space. Apart from this, the consensus system of Junaeth allows for blockchain oracles, sidechains, advanced blockchain functions, and on-chain governance. Given the above, it is likely that Junaeth will become a high-performance blockchain model in the future.
Also, Junaeth’s capabilities and unique features are other reasons why Stealth is considered the primary contender for top privacy coin. So, if you are looking to invest in the best privacy coin, then Stealth is definitely worth your time and investment.
To know more about Stealth, visit https://stealth.org/!