With growing surveillance worldwide, privacy is becoming an ever-important concern. Privacy-focused crypto Zcoin shared its thoughts with Altcoin Buzz on privacy in the crypto space.
Despite the difficulties that privacy-focused cryptos face from regulatory authorities, Zcoin has continued to ensure financial privacy is a reality for all. The platform has spent time building and designing several privacy-focused protocols like Zerocoin, Sigma, and Lelantus. However, even with several privacy protocols, usage remains low on the platform. At the time of writing only about 4% of the total supply of the cryptocurrency “has been anonymized via Sigma since its launch in July 2019”. However, its Dandelion++ protocol which is implemented by default is used by nearly 100% of all Zcoin nodes.
As it so happens, opt-in privacy is far from being fully adopted in the crypto space. This doesn’t only affect Zcash Sigma protocol but is seen across other cryptos like Dash and Bitcoin that have deployed the model. Surprisingly, Chainanalysis currently claims it can somewhat trace about 99% of Zcash transactions.
With this in mind, optional privacy is definitely an issue. The question that comes to mind is, “Why hasn’t Zcoin moved to default privacy?”
Zcoin first went live with the Zerocoin protocol in 2016. It entailed burning and redeeming tokens with no transaction history. With a history of the protocol being linked to Bitcoin, it was quite easy for several existing tools like light wallets, blockchain explorers, etc to accept it. However, the status of the technology made it impossible for the Zerocoin protocol to be installed as a default protocol.
Sigma essentially provides solutions to several of Zerocoin’s shortcomings and also serves as an interim protocol to Lelantus. However, the transition to the Sigma protocol hasn’t met as much success as anticipated by Zcoin.
The first phase of the launch of Lelantus is scheduled for this year. The second phase is expected to go live in 2021. These will enable direct anonymous payments.
Speaking on its proposed Lelantus launch, Zcoin pointed out that,
“We believe privacy is a fundamental human right, especially in an increasingly connected and data driven world. If we believe in the original tenets of cryptocurrency as a decentralized and self sovereign form of money, we need to fight to maintain our right to be private.
Zcoin will always remain proud to be a privacy cryptocurrency because your money, is your business.”
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