Monero’s privacy features are a model for other cryptocurrencies, including Bitcoin
For many cryptocurrency users, privacy remains a high priority. Popular cryptocurrencies like Bitcoin allow users to not only benefit from a safer form of immutable ‘money’, but also add the added benefit of being resistant to censorship. However, in recent years, privacy-centric crypts like Monero and Zcash have gained a lot of momentum and are likely to further influence technological innovations, even within the largest Bitcoin user base.
In a recent discussionAndreas Antonopoulos, a popular supporter of Bitcoin, highlighted how privacy remains at the forefront of the cryptocurrency movement and talked about whether technological innovations now found in privacy currencies like Monero can emerge and become a privacy layer for Bitcoin. Antonopoulos noted that, in the case of Monero, its privacy features are much more complex compared to Bitcoin. According to him:
“Monero is a separate blockchain and a cryptocurrency that uses a combination of very strong privacy technologies to offer a degree of anonymity unmatched by Bitcoin.”
Interestingly, one recent report from Carnegie Mellon University, which analyzed the privacy features of popular privacy currencies, noted that not all protocols and user bases are the same and enjoy the same level of privacy and anonymity. In the case of Monero, the researcher found that his privacy protocols are extremely robust, but in the case of Zcash, his user base seems to continue not to take advantage of the features offered to them. The report said:
“Although Zcash is cryptographically well-founded, users behave in a way that does not take full advantage of the protected pool, making it traceable.”
Antonopoulos went on to talk about how there could be little effect on the protocols developed at Monero that could substantially benefit the Bitcoin ecosystem and its users in the years to come. He stressed that:
“Monero helps in many ways. Helps to develop the protocol. It helps in the development of new privacy technologies, and it also helps as part of an ecosystem of cryptocurrencies and blockchains that can be exchanged relatively quickly, easily and cheaply. “