There are many considerations for internet users these days, one of which is privacy. Because we’ve lived through several scandals, such as Cambridge Analytica, which showed just how easily our sensitive information can be collected and misused, many of us are using the internet as cautiously as possible.
This is reflected in the rise of virtual private networks, privacy browsers, and much more. But did you know that cryptocurrency is a very valuable tool for this effort? Here are a few ways cryptocurrency helps.
How Crypto Can Protect Your Privacy Online?
Bypassing Registrations
For many of us, the loss of privacy begins when we even sign up for various online services. Usually, we have to provide some sort of sensitive information such as our government name, email address, phone number, and much more.
These concerns are not limited to one type of platform, but appear across financial, social, and entertainment services alike, as cryptocurrency continues to simplify access and reduce friction across digital ecosystems.
This shift is particularly visible in online gambling, a multi-billion-dollar industry where user identification has become a standard part of onboarding.
Typically, you would have to register by providing your government ID, proof of address, and much more. However, using cryptocurrency, you can use online casinos without verification.
This is because many platforms that accept cryptocurrency allow players to simply connect their digital asset wallets to the platform and deposit and withdraw tokens as needed. This way, you are completely anonymous and can access your services with ease.
Privacy Cryptos
It is important to know that there is an entire category of cryptocurrencies that are built for the purposes of privacy. Tokens like Monero and Zcash fall under the category of privacy tokens, and these can be used in complete anonymity.
These tokens are near impossible to track across a blockchain, and this means no one can monitor your activities using your crypto.
Those who already use cryptocurrency or want to get into it should certainly consider privacy tokens as a tool for a privacy-centric lifestyle. Luckily, most privacy tokens can be easily obtained on various exchanges, so there’s a low barrier to entry.
Token Mixers and Address Generators
For those who don’t want to use privacy tokens for their transactions, token mixers offer another alternative. These are essentially services that scramble the origin and destination of various cryptocurrencies so that no one tracking them on the blockchain can tell where they are coming from as they are being moved.
While token mixers have faced some controversy in the past, they have nevertheless continued to be popular among two users, especially high-net-worth ones that don’t want their activities constantly broadcast on whale watching accounts.
If you fall into this category or simply want more privacy, consider the mixers. There are also address generators that create new crypto wallet addresses every time someone wants to complete a transaction, and this means that the activities can go largely undetected.
Once again, it is highly recommended for those looking to make the most of their crypto use while staying private.
Privacy-Centric Blockchains
While traditional blockchains have focused on transparency, new options prioritize privacy and protecting user data. Tokens like Litecoin are based on blockchains that keep transactions hidden using various mechanisms.
While they are the minority of blockchains at the moment, it’s believed that more will be launched in the near future to cater to the rising demands of privacy from crypto users.
Conclusion
Cryptocurrency and privacy can be a match made in heaven if you know the right tools and processes to use.
As we have noted in this article, there are several ways you can go about using cryptocurrency to preserve your privacy, whether that is making payments, transmitting information, or signing up for services.
Look into these options, and combined with other privacy tools, you should get your wish.
