Today, both Zcash (ZEC) and Dash, two of the most well-known privacy currencies, have partnered with Chainalysis.
By the way, after the launch of Codefi today, which allows you to track transactions with the well-known KYT (Know Your Transaction), the community went crazy and realized that this tool could also track privacy-focused cryptocurrencies, such as Zcash and Dash.
The position of the Electric Coin Company (EEC), however, is very clear and explains how protected transactions will not be tracked by Chainalysis because, due to their anonymous nature, they cannot be tracked.
– Electric Coin Company (@ElectricCoinCo) June 8, 2020
“Today, Chainalysis announced support for #Zcash. Our position and points of clarification are in this thread. ”
The operation of the Dash and Zcash
Cryptom0oeda Dash offers an optional solution, PrivateSend without fee, which allows you to mix transactions and then blur them.
This is a feature that the user can decide to use or not, which is not defined by default.
Something similar can be done with the blockchain Zcash (ZEC), which offers the possibility to carry out normal, partially armored or fully armored transactions, so that only those using fully armored transactions would be safe from tracking systems.
Either way, the Zcash-related data is encouraging and favors this blockchain, which recently saw a 70% increase in protected transactions, although criticism does not take long to reach users like Monero’s Whale Panda and Riccardo Spagni, who have criticized harshly the Zcash blockchain for paying the exchanges to list ZEC.
Certainly Monero (XMR) is one of the cryptocurrencies that guarantees a high level of privacy to make transactions protected against prying eyes.
Finally, to overcome privacy problems, it is also possible to always use a different address or to use transaction mixer systems such as Wasabi, which is so reliable that even Europol had to intervene to verify its work.