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Collinberg

You Might Not Have Realised It But Cryptocurrency Transactions Are Not As Private As You Thought

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Collinberg

Do you recall the very recent Report about the alledged hack of Coinbene Cryptocurrency exchange where all the ERC-20 tokens in their hot wallet was stolen and liquidated in Idex and in other to keep the exchange afloat and avoid panic, the owners of Coinbene replenished their coffers with Maximine tokens? Have you wondered for a second that if blockchain technology is so anonymous, how were those transactions traced?

Cryptocurrencies are built on a public ledger network that can be viewed by anybody, imagine your wallet balance can be viewed by anybody, all your transactions can be viewed by anybody  and this poses a security risk, imagine if your bank account and bank transaction records become public knowledge, that would automatically make you a target if you have huge funds in there.

For example in the case of Coinbene hot wallet, if the hacker had not been able to see the amount of funds contained in the wallet, they would not have been able to target it, infact they would not even know the wallets to even target, this reason alone is why many people has fallen victims to Cryptocurrency hacks.

This is why Privacy Coins are needed in a time like this because these are Cryptocurrencies that can enable you to enjoy blockchain technology without the associated security risk and recently I discovered a privacy coin called Veil which takes privacy coins to a whole new level my taking the already existing technology and making improvements on them to make the protocol airtight.

One thing that fascinated me about Veil is the fact that there was no ICO or Pre-mine but the main net has already been launched and is working as advertised. If you are interested in privacy coin like me, I would encourage you to check out Veil and tell me what you think about it.

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Linkkoin

Cryptocurrency transactions are the most private when you are using anonymous modes of privacy coins only.

Yet if you are using exchanges, most of them require at least your email address. Usually you are as well subject to KYC. In this case you can be easily identified and contacted. 

Of course, some decentralized exchanges may not need require KYC at the moment (but recent events show us that these exchanges as need to follow this path), but usually you buy your initial crypto where you need to be verified anyway.

 

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Vl. Jo

Cryptocurrencies are not completely private, that is true, but they provide more anonymity than any other payment methods.

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