Contrary to popular belief, secrecy does not mean those who have something to hide, but rather the loss of everything. Authoritarian governments around the world increasingly use surveillance to control their citizens through personal and civil liberties. Confidentiality of financial transactions is closely related to personal freedom. Without secrecy (and financial means), true freedom is at stake. We are unable to resist injustice.
The promise of the cryptocurrency is that the money is inappropriate and invisible to people. But Bitcoin (BTC) like digital digital cash is supposed to be lacking secrecy, which is crucial to enabling these features. In an increasingly interconnected and data-driven world where monitoring and data collection is the norm, we must consider confidentiality a fundamental human right. If we believe in the original principles of cryptocurrency as a decentralized and independent form of money, then we must strive to preserve our right to privacy.
Some cryptocurrency projects seem to apologize for being secret, given the current regulatory climate and the widespread misconception that criminals use secret coins to cover up illegal activities. This is why we see other space projects, like Zcash (ZEC), Dash (DASH), or even Bitcoin, using privacy models that obviously don't work.
Low usage means less confidentiality, as Chainalysis's discovery shows that 99% of Zcash's transactions are partially tracked and that the company can conduct successful investigations of PrivateSends Dash. Other studies also show that despite Zcash's advanced technology, many users who didn't fully understand how privacy worked, used it inappropriately and made it trackable anyway. However, the truth is: No matter how advanced privacy technology has advanced, it makes no sense if it is not used. Loneliness loves to be in a crowd. Confidentiality must be easy to use.
Various explanations have been given as to why these cryptocurrencies do not want to encourage greater adoption of private transactions. The main reason is that they need to play with regulators who don't like the idea of private deals. Although its primary assets are one of the first privacy currencies called Darkcoin, Dash makes every effort to distance itself from the privacy of cryptocurrency, including with a published legal status, which is no different in terms of privacy from Bitcoin. These scary tactics make privacy a very bad service and describe it as a shame.
A bolder approach is privacy by default with the ability to be transparent. It introduces Lelantus Privacy Protocol, which automatically disguises the identity of funds in your wallet, but also allows you to deactivate them if necessary, providing easy approval for exchanges and wallets that carry a large number of shipments, but does not necessarily want to burden confidential transactions.
Since the exchange knows your identity anyway, there is no need to sacrifice anything other than taking advantage of large groups of anonymity, fast and easy transactions for exchange and easy integration with the larger encryption system used to work with bitcoin type. Coins. This is especially important when incorporating decentralized exchanges or interoperability of DeFi transactions.
Play well with the organizers
Secret Coins are concerned about staying in an increasingly hostile regulatory environment where confidentiality is easier to maintain for compliance reasons. Although significant pressure on secrecy currencies extends to interested banks or regulators, there is no direct law or customary law on them. Even the revised “travel rules” or FATF rules that impose additional disclosure obligations, in addition to the money laundering rules on stock exchanges and custodians, do not prohibit the use of secret coins. Virtual asset providers or VASPs can still reveal the identity of the sender, because they already know who you are, regardless of blockchain privacy mechanisms.