Cryptocurrencies have grown in popularity because of several different reasons, with some of the more prominent ones being privacy and anonymity. Some digital currencies allow their users to conduct transactions while hiding their identities and transaction details.
In the early days of Bitcoin and cryptocurrencies, there were concerns regarding their anonymity, but now there are nearly thousands of cryptocurrencies in existence that potential investors can choose from.
Here are some of the cryptocurrencies that have recently gained popularity for being privacy-oriented and for being made with anonymity in mind. These cryptocurrencies claim to offer more advanced security measures than the rest or claim to have options that can help their users remain unidentified and their activities concealed.
This cryptocurrency’s popularity has seen a recent trend upwards, mainly because of its ability to keep users anonymous. Transactions made within the Monero network are a lot harder to track or trace because they use various methods like ring signatures and stealth addresses. With those methods in place, the sender and receiver’s details remain concealed and hidden.
Monero reached a trading value of $221.46 on July 4, 2021, and is currently the 26th-largest cryptocurrency based on a market value of an estimated $2.8 billion.
Zcash takes pride in its enhanced security and privacy features. This digital currency makes use of a cryptographic tool called Zero-Knowledge Proof. This protocol provides the network participants with a chance to shield their transactions.
Their network allows their users to conduct transactions without having to reveal their addresses to the other party. Zero-Knowledge Proof also conceals the transaction amount and keeps it away from prying eyes.
It is currently at rank 60 among cryptocurrencies, trading at $122.68 per ZEC as of July 2021, and it currently has a market cap of $1.49 billion.
DASH was created in 2014, and it is a cryptocurrency that gives its users a choice to make their every transaction anonymous and private or not. They make use of a PrivateSend feature that allows users who would prefer to stay within their preferred country’s regulatory standards to stay within it.
The network is able to do so by hiding the source of the funds. If a user opts to use the PrivateSend option, they need to take note that doing so comes with slightly higher transaction fees. DASH is able to achieve all this by using a protocol that uses master nodes, which are a decentralized network of servers through node operators.
DASH currently ranks 61st by market capitalization, coming up with a total value of $1.46 billion.
Unlike the earlier cryptocurrencies that make use of cryptographic techniques, Verge relies on tried and tested technologies like Onion Router and the Invisible Internet Project in order to protect their users’ identities.
The onion router hides a user’s identity by scattering the user’s communication signals all over the network, which consists of relays and tunnels that are made by network users and volunteers from all over the world.
On the other hand, the invisible internet project is responsible for encrypting a user’s data before they get sent across Verge’s discreet and peer-to-peer network. The process of encryption hides a users’ IP address and location.
The Verge network made quite a splash in the cryptocurrency scene when an adult website decided to start accepting crypto payments. It was said that the adult website made this decision because of Verge’s security features.
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The beam is a cryptocurrency token that is high security-centered and has core features that can provide complete control over your privacy. Every transaction made on their network is private as default, and a user’s private information like addresses are never stored within the blockchain.
Beam makes the claim that it has superior scalability because the size of its blockchain is compact. It can also support both online and offline transactions, atomic swaps, and the integration of hardware wallets.
Beam has a total market value of $39.77 million, and it ranks as 462nd among the most valuable cryptocurrencies.
Horizen has a different approach to its security, making use of privacy shielded Z-Addresses and public T-Addresses. Z-Addresses refer to fully private addresses that are generated by the zero-knowledge proving system in order to protect a transaction and make sure that it is private. T-Addresses, on the other hand, are more similar to Bitcoin addresses.
The only drawback to this system is that when you transfer funds from a Z-Address to a T-Address, the amount transferred will be shown. This is mitigated by the fact that Horizen has quite a vast and large node network, which makes it easier for users within the network to stay anonymous.
Horizen traded for $68.93 on July 2021, and at the time, the cryptocurrency had a total market cap of an estimated $776.56 million. It currently ranks 83rd when it comes to size.
Even if privacy is one of the most prized features within the virtual world, it still brings about the risk of criminal elements. Cryptocurrency networks and operators work very hard to fend off any hacking attempts by people with malicious intent. There is also the fact that the government and law enforcement are more likely to be suspicious of people who transact in large amounts.
At the moment, Bitcoin still seems to be the most popular option as a cryptocurrency; it is already used by government agencies. They have already shown themselves to be adept at tracing Bitcoin transactions, which makes individual investors switching to more private cryptocurrencies more likely.
Cryptocurrencies are highly believed to be the future of transactions, making them an asset with a lot of possibilities. You might want to consider investing in them once you have your financial bases covered. If you want to learn more, then you can visit this secure and beginner-friendly crypto trading site that can equip you with the right tools to start your investment.