It’s a well-known fact that cryptocurrencies can be easily tracked if you know where to look. Thus, users are turning to anonymous cryptocurrency to seek more privacy.
While this is useful for increasing the scope of government regulation and for malicious actors looking to get their hands on your money, the lack of privacy is a striking risk of cryptocurrency use for many people. When your personal information and the details of your transactions are open to the public, handling your finances can feel a lot less secure than you’d hope. For many people, adding the option to trade privately and, for example, send and buy crypto anonymously, would clear most of the remaining hurdles to blockchain and crypto mass adoption.
Search “anonymous cryptocurrency” online, and you’re likely to find references condemning crypto for the supposed “illegal activity” that cryptocurrency enables. This supposition, while once true, is far less so now due to the ease with which one can find the details of almost any cryptocurrency transaction. But private, anonymous cryptocurrency has numerous positive uses that regular people need access to if we want to see cryptocurrency and blockchain technology live up to its full potential. Here are the top 5 benefits of anonymous cryptocurrency, and how you can take advantage of them.
Benefits of anonymous cryptocurrencies
1. Anti-theft security
Currently, there is no totally anonymous cryptocurrency. So, if you haven’t taken the necessary steps to be able to send bitcoin anonymously (described at the end of the article), then anyone can see where your transactions are going. Even if you use an encrypted address, or multiple addresses, patterns still emerge enough to tip off anyone paying attention. Hackers can gain access to your funds, or worse, figure out your real-world identity and harass you in-person. Cryptocurrency promised to solve problems like scams and theft, but it can only do so with anonymous cryptocurrency transactions. Once there is nothing to link a transaction to you, and all details of the transaction are inaccessible to anyone but you, then cryptocurrency will be the safest payment option.
2. Workplace confidentiality (and legal compliance)
Whether you’re an employer or an employee, there are numerous reasons to transact privately. In many places, it is illegal to reveal employee salaries, making anonymity a must for crypto salaries. Sales ledgers, budgets and expenses, and other sensitive company information require care, so crypto privacy would allow for businesses to use cryptocurrency on a large scale while increasing, rather than compromising, their security and legality.
3. Investor confidence
Privacy for investors is akin to a helmet for a bicyclist. Without it, you feel vulnerable. Where and how people invest their money can reveal proprietary strategies, personal interests, and financial status. Whether you’re a casual investor or full-time, privacy is a must. That’s why you should consider using anonymous cryptocurrency for your business.
4. Identity theft and tax fraud protection
With today’s most popular electronic transaction methods, namely credit and debit cards, comes a level of vulnerability we’ve become accustomed to overlooking. Identity theft affects millions each year, and is made possible by the transaction data and personal information stolen by people perusing your purchases. Cryptocurrency alone has this same problem, but also the potential to solve it. Fraud and theft become a truly unthinkable occurrence when we make use of the tool that is anonymous cryptocurrency.
5. Peace of mind
The final benefit, and the one which you’ll experience most regularly when sending bitcoin or other cryptocurrencies anonymously, is peace of mind. You no longer need to worry about any of the above occurrences, and have access to a plethora of other benefits as well. Imagine, for example, you want to delight your spouse with a surprise birthday party. However, you have a joint bank account and they are alerted to all transactions, including any preparations you’d make for the party. This normally helpful feature unintentionally becomes a burden in an otherwise wholesome scenario. What do you do? When anonymous cryptocurrency is the norm, your supplies and gifts can be purchased anonymously, and your surprise is a smashing success.
An alternative for vulnerable anonymous cryptocurrencies
All of this sounds great, but if all cryptocurrency is vulnerable, is this just wishful thinking?
Not at all! Privacy solutions for anonymous cryptocurrency are available to anyone and everyone, most of them for free!
The best way to get complete privacy for your cryptocurrency is to use best crypto wallets that enhance your privacy.
Incognito Wallet: A privacy-focus crypto wallet
There are several options, but none of them are quite as good as Incognito Wallet. The Incognito Wallet essentially enables you to toggle incognito mode for all of your cryptocurrencies. It’s not just the best bitcoin wallet, but the best wallet for any crypto you hold.
All transactions are shielded by turning your crypto into privacy coins with a 1:1 value ratio. You can turn your bitcoin into privacy bitcoin (pBTC) worth the exact amount as bitcoin and able to be used the same way, but entirely private and untraceable. No personal information is accessible, and any transaction details are only available to you. Then, when you don’t need anonymity, you can just revert the coins to their regular state with the push of a button. It’s the perfect solution.
As the most anonymous cryptocurrency app, Incognito has been implemented with hundreds of crypto coins, and more are constantly being added. If you value your privacy, check it out at incognito.org.