Privacy coins

Privacy coins

Privacy coins are a controversial topic. On the one hand, they are feared by governments to be a medium for illicit and illegal activity. On the other hand, anonymity oriented coins are praised by freedom lovers and considered as an evolution of financial freedom.

By its nature, Bitcoin has a transparent public ledger. Anyone who knows your wallet address can view the balance of your wallet. Additionally, they can track how much money you have sent and received, along with the wallet addresses of senders and recipients.

The concept of the public ledger is terrific and would be great for non-profits, governments, and other public entities where transparency is required.

However, businesses and individuals deserve their financial privacy. As a business owner, you don't want the public to know how much individual clients paid you, or how much you paid to your suppliers. As an individual, you naturally don't want anyone to know how much money you have in your wallet or what your spending habits are.

Therefore, privacy decentralized coins that give users a degree of anonymity have been introduced.

Privacy coins list

Currently, there are over 70 privacy coins. Even though some are insignificant, with very low market capitalization and utilization, the list of privacy coins contains the following currencies:

  • AceD (ACED)
  • Aeon (AEON)
  • Anoncoin (ANC)
  • Apollo Currency (APL)
  • ARPA Chain (ARPA)
  • Arqma (ARQ)
  • Beldex (BDX)
  • Bitcoin Private (BTCP)
  • BitcoiNote (BTCN)
  • BitcoinZ (BTCZ)
  • Bridge Protocol (BRDG)
  • Bulwark (BWK)
  • Bytecoin (BCN)
  • BZEdge (BZE)
  • CloakCoin (CLOAK)
  • Cloadbric (CLB)
  • Conceal (CCX)
  • CrypticCoin (CRYP)
  • CUTcoin (CUT)
  • DAPS Coin (DAPS)
  • Dash (DASH)
  • DeepOnion (ONION)
  • Dero (DERO)
  • Digital Note (XDN)
  • DMme (DMME)
  • Dreamcoin (DRM)
  • Dusk Network (DUSK)
  • Eximchain (EXC)
  • Grin (GRIN)
  • Groestlcoin (GRS)
  • Horizen (ZEN)
  • Hush (HUSH)
  • Incognito (PRV)
  • Komodo (KMD)
  • Kurrent (KURT)
  • Lobstex (LOBS)
  • Loki (LOKI)
  • Monero (XMR)
  • MoneroV (XMV)
  • MoX (MOX)
  • NAVcoin (NAV)
  • NIX (NIX)
  • Noir (NOR)
  • Origo (OGO)
  • Particl (PART)
  • pEOS (PEOS)
  • Phore (PHR)
  • Pirate Chain (ARRR)
  • Pivx (PIVX)
  • Quantis Network (QUAN)
  • Ryo Currency (RYO)
  • SafeCoin (SAFE)
  • Safex Cash (SFX)
  • Scala (XLA)
  • Signatum (SIGT)
  • SpectreCoin (XSPEC)
  • Sumokoin (SUMO)
  • Super Zero (SERO)
  • Suterusu (SUTER)
  • Tarush (TAS)
  • TeleCoin (TELE)
  • Tixl (MTXLT)
  • Turtlecoin (TRTL)
  • Veil (VEIL)
  • Verge (XVG)
  • X12 Coin (X12)
  • Xuez (XUEZ)
  • Zcash (ZEC)
  • ZClassic (ZCL)
  • Zcoin (XZC)
  • Zero (ZER)
  • ZIP (ZIP)
  • ZumCoin (ZUM)

Best privacy coins

The popularity of any cryptocurrency is determined by several factors, including technology, innovation, market capitalization, adoption, the strength of community, and brand awareness. Based on the above, the three top privacy coins are:

  • Monero
  • Zcash
  • Dash

Let's look at each in detail.

Monero (XMR)

Initially founded in April 2014, Monero (XMR symbol) is the most popular privacy coin.

It is an entirely untraceable coin that gives users full control over their privacy. Monero allows users to make their transactions transparent, however, by default, it's completely private. It's stable and dynamically scalable, making it a reasonable coin for day to day transactions.

Unfortunately, Monero has gained negative popularity by being used for illegal mining. This, however, underlines the fact that it's completely untraceable.

To preserve its anonymity, Monero leverages Ring Signatures, Ring Confidential Transactions, and Stealth Addresses.

Ring Signatures cloak the sender as well as the recipient, who both remain unknown. Furthermore, Monero implements Ring Confidential Transactions that mask the total amount of a transaction. Finally, Stealth Addresses make it impossible for outside parties to determine transactions on a specific wallet address.

The above features make Monero a truly confidential option for anyone who desires privacy from their cryptocurrency. To learn more, read our article on Monero privacy and the comparison of Monero vs. Bitcoin.

Zcash (ZEC)

Founded in 2013, Zcash (ZEC symbol) is a privacy coin based on a zero-knowledge protocol zk-SNARK (Zero-Knowledge Succinct Non-Interactive Argument of Knowledge).

A zero-knowledge protocol is used by one party to prove to another party that a given statement is true, without communicating anything other than the statement is true.

In Zcash, the zero-knowledge protocol works by using a pair of public keys. When a sender transmits encrypted funds on the blockchain, only the recipient can decrypt and access the funds by using the transmission key. The recipient confirms that they found a payment on the blockchain, but doesn't have to specify it further.

When it comes to privacy, Zcash is a secure alternative to Monero. Interestingly, in 2017, JPMorgan has approached the makers of Zcash to provide a new layer of privacy to their enterprise-grade blockchain.

Dash (DASH)

Founded in 2014, Dash (DASH symbol) is a cryptocurrency originally forked from Bitcoin.

Compared with Bitcoin, Dash offers several innovations, including PrivateSend, a decentralized coin-mixing service based on CoinJoin to keep the sender and recipient of the transaction private.

Other notable features of Dash include InstantSend, a mechanism to handle a large volume of near-instant transactions, and Decentralized Governance by Blockchain, a "treasury system" for management of network development and funding of the Dash ecosystem.

Throughout its existence, Dash has evolved dramatically. By addressing problems that were initially unsolved by Bitcoin, it has transitioned from the Darkcoin into a reliable cryptocurrency with a strong emphasis on privacy.

Making Bitcoin a privacy coin?

Even though there are dozens of dedicated privacy coins, Bitcoin remains the most reliable and widely supported cryptocurrency of all. Unfortunately, Bitcoin is not anonymous, and all its transactions are publicly available.

Luckily, you can anonymize your Bitcoins to the degree of a privacy coin by converting them to a privacy coin, such as Monero. Once you turn Bitcoins to Monero, your funds will become untraceable. Later, you can change Monero to fresh, untraceable Bitcoins, with no link to its previous history.

To anonymize Bitcoins through a privacy coin, without skills, crypto exchanges, and KYC headaches, you can take advantage of our convenient Bitcoin anonymization service. And if you'd prefer to use the traditional mixer instead, use our Bitcoin mixer.