How Does Monero Privacy Work? The Ins And Outs Of This Awesome Altcoin
Monero is a cryptocurrency that focuses on privacy, making it one of the most private digital currencies available today. Monero uses a unique technique called ring signatures to make sure that no one can link a Monero transaction to a specific user. This means that Monero transactions are incredibly difficult to trace, making it the perfect currency for those who like to remain discreet when dealing with their finances. In this blog post, I will try to give something of a layman’s view on how does Monero privacy work, and of why the blockchain functions just a tad bit differently when using Monero in financial transactions.
One thing that I have noticed regarding my quick Google search on Monero, is that when I went to “Answerthepublic.com” to try and create a full topical map for the keyword in order to better rank my blog, that nearly every single topic on the map focuses solely on privacy, discretion, and legality. Who the primary users of Monero are I am not sure, but it is very popular on Reddit and in Crypto Currency circles, I personally have never mined or owned one, so I am simply writing as an observer or as a third party right now.
Why Is Monero So Talked About On Reddit?
When I take a look at the front page of Reddit and do a quick search on Monero, XMR, I see that there are nearly four thousand results. The top post is currently regarding how to buy it, with several other posts asking questions about it as well. Why is this?
My first guess would be because of its discretion. Reddit has always been somewhat in the shadows, and has made a huge amount off of “gimmicks” and cheat codes, which is in a lot of ways why people go on Reddit in the first place, as an anonymous forum to get legitimate information.
Monero Privacy Rules On The Blockchain
Monero transactions are private by default and cannot be linked to real-world identities. This means that Monero could be attractive to users who value privacy and do not want their transactions to be publically visible on the blockchain.
In addition, Monero is a fungible cryptocurrency, which means that each unit of currency can be substituted for another. This is in contrast to Bitcoin, which is not fungible because each unit of currency can be tracked back to its original owner.
Monero also has a few other features that make it unique, such as its use of ring signatures and stealth addresses, which we will discuss in more detail later.
One downside to Monero is that it is very expensive to buy, however if you are looking for privacy, Monero, also commonly known as (XMR) is likely your coin of choice.
The gist of Monero and why it is much more discreet then Bitcoin, is that the actual transactions cannot be traced back to the original owner on the blockchain, it is untraceable crypto currency with the utmost discretion possible. Now obviously you still need logs and invoices to show whenever you actually go about converting this crypto currency over to fiat, but what is much different, is that unlike something like Bitcoin, where you are much more naked in your financial transactions, Monero cannot be traced back to its original source, so there is no way of telling, programmatically, where the funds originally came from (other than, once again what happens outside the blockchain once it is converted to fiat.) A great analogy that I thought of when discussing Monero vs Bitcoin is that Bitcoin is Google, and Monero is Duck Duck Go, in just about every single similarity and difference.
Final Thoughts On How Does Monero Privacy Work? The Overall Differences In The Block Chain Make The Anonymity Real!
And that’s the gist of what I know about Monero! Hope you are enjoying these Crypto Currency articles, I am thoroughly enjoying writing them and plan on posting as many as I can for the rest of the year, or at least until I run out of keyword ideas. For more details and information on all things business, finance and Crypto, be sure to read on or subscribe to our blog for additional details and information.
Disclaimer: The opinions and documentation contained within this article and on this blog are the sole property of inflationhedging.com and are not to be copyrighted or reproduced in any manner, else legal action within the rights of the United States legal code could be use to obtain recompense. All articles and blog posts are the sole opinions of the writers of the blog, and are not necessarily in line with what exactly will work for you, you should consult a CPA, Tax Professional, or Financial Professional to determine what exact financial needs are in line with your interests. Also, from time to time, certain links on this website will be used to generate affiliate commissions, in order to support the health and growth of our website, health and business.