Cryptocurrency and have taken off in huge ways over the past few months. There are countless opinions about the legitimacy, reliability, and future of cryptocurrencies and their widespread use. One idea that there is less disagreement on is blockchain and cryptocurrencies’ ability to protect user data from companies and governments. blockchain What is Cryptocurrency? According to : Wikipedia “A (or ) is a designed to work as a that uses to secure its transactions, to control the creation of additional units, and to verify the transfer of assets.” cryptocurrency crypto currency digital asset medium of exchange cryptography If you’re reading this, there’s a pretty good chance that you are already somewhat familiar with crypto. According to , in December 2016, “around half of Americans had heard of the alternate currency bitcoin — but just 1% had actually used bitcoins themselves.” Now there are around 200,000 Bitcoin ( ) transactions per day. And there are even crypto investment firms ( ) and hedge funds popping up like crazy! Pew Research Center BTC like this one What are Privacy Coins? Privacy and anonymity are a couple reasons why cryptocurrencies have received so much attention in recent months. However, Bitcoin, the most well-known coin doesn’t have the privacy that those unfamiliar with how it works assume. Privacy coins add layers of protection for the users who own them and complete transactions with them. Because Bitcoin is run on the public block chain ledger, anyone with access can see every transaction and the address it comes from. The wallet address, or simply address, is an alphanumeric ID of 26–35 characters. While this code on its own doesn’t reveal much besides how much money is sent, and to which address, if the ID is linked to a person or organization, it can be a privacy threat. How Do Privacy Crypto Coins Hide User Identities? There are a few methods these coins use to hide user identities and transactions. Most use some sort of encryption, like The Invisible Internet Project (I2P), or Tor. Others use cryptography methods like or address scrambling methods to maintain anonymity. zero-knowledge proofs Steemit ’s Top 5 Privacy Coins : DASH ( ) DASH Monero ( ) XMR Zcash ( ) ZEC PIVX ( ) PIVX VERGE ( ) XVG Today, knowledge and even use of cryptocurrencies is more widespread. Bitcoin alone currently has a market cap of around $173 billion, and crypto as a whole has grown to an estimated market cap**,** peaking at over . $470 billion $825 billion Interest in “Cryptocurrency” via Google Trends Interest in cryptocurrency saw it’s biggest spike in the past five years at the end of 2017. Crypto and its underlying , blockchain, are steadily making their way into everyday life for more and more people. technology Blockchain Is Great For Data Security explains in , that “the cryptographic technology that underlies bitcoin, called the ‘blockchain’, has applications well beyond cash and currency.” Grass-roots organizations could use blockchain to undermine giant data companies, like Google and Facebook. The Economist this article gives us this easy to understand explanation of what blockchain does and how it works: Building Blockchain _An easy, picture-perfect way to follow what blockchain is all about._medium.com Blockchain for N00bs with most, if not all, is that user and stored on servers. These servers are a target for hackers who can infiltrate them and steal the data. The problem internet services information is collected Decentralizing control of global data, by moving it to block chain, reduces risk for the companies storing the user information. You would no longer have to trust individual companies with your private data. Another benefit is that you wouldn’t have a profile with multiple providers, such as Twitter, Facebook and Google. All of your information would be stored in one secure, and , place. much more private Source: The Rising Tide of Decentralized Identity ( )is working to build “an open source decentralized identity ecosystem for people, organizations, apps, and devices. Many large corporations are on board with DIF’s mission, including Microsoft and IBM. Decentralized Identity Foundation DIF Pillars of a New Decentralized Data Ecosystem Ankur Patel, of Microsoft’s Identity Division said: “Today, apps, services, and organizations deliver convenient, predictable, tailored experiences that depend on control of identity-bound data. We need a secure encrypted digital hub that can interact with user’s data while honoring user privacy and control.” Adopting blockchain across the board could completely alter the way the internet works. Users would ultimately benefit the most, because their data is no longer at the mercy of the many companies storing their information. _How inclusive and diverse dialogues now will help build this system of the future._hackernoon.com Blockchain is a “1%” Conversation, and That Needs to Change explains that knowledge and influence in the crypto and blockchain markets are limited to a select group of people. This is an issue because placing all the power of blockchain in a few sets of hands could just transfer existing data power to those new groups rather than truly decentralizing. Saya Iwasaki Blockchain’s Decentralization Is Huge Technological Advance Because, for the past couple decades, internet users have had to rely on big data companies like Facebook or Google to securely store their data, these companies have achieved great power. However, this means that the control of the internet (and the data gathered from it) falls into just a few private buckets. With block chain, users are empowered by being able to decide , and knowing that it isn’t being sold to third-parties. where their data goes Block chain’s long-term effects on the internet becoming more democratic and run by its users will likely outweigh the effects it has on the world’s monetary systems.

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Privacy May Be Cryptocurrency & Blockchain’s Best Use

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Christian Stewart

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Privacy May Be Cryptocurrency & Blockchain’s Best Use

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Christian Stewart

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