On March 29, blockchain company Coingeek announced that it will fund a privacy-centered Bitcoin Cash (BCH) project called Cash Shuffle, according to media reports. For a while, the coin circle was abuzz, and the project “Cash Shuffle” came into sight again.
Back in December, BCH announced the “Cash Shuffle,” a privacy-focused transaction protocol designed to add privacy capabilities to BCH transactions, allowing BCH users to obliquate their transactions by combining funds with other Cash transfer users.
If the project succeeds, the implications will be unprecedented.
First, there are no cryptocurrencies that really guarantee privacy. When a digital currency is used for transactions, the blockchain records the transfer of digital currency between users and connects users to their transactions. BCE, for example, is more anonymous than anonymous, because on a blockchain, all information is public.
As G.Maxwell, CTO of Blockstream and a member of the core team, puts it: “BCE is considered a tool with privacy, but privacy comes from anonymous addresses, and the repeated use of anonymous addresses increases the risk of privacy disclosure, such as through ‘stain’ analysis, payment tracking, monitoring node IP addresses, web search and other mechanisms.”
In the digital world, there’s always someone who can track you down. While there is no digital currency that can achieve complete anonymity, BCH’s efforts to create privacy should not be overlooked.
Second, the Cash Shuffle could provide truly decentralized privacy services. One of the most widely used approaches to privacy today is an online service called “obfuscation service”, which obfuscates traceability between users by receiving and returning the same number of BCE using a separate BCE address. While it improves privacy, the downside is that it requires trusting a centralized operator and paying high service fees.
BCE recently addressed privacy concerns with The Lightning Network, which uses the “Sphinx” protocol to route lightning network payments to an anonymous network similar to Tor to provide privacy and protection interchangeability. This looks promising, but it should not be overlooked that lightning networks are becoming more and more centralized. As privacy researcher Kristov Atlas wrote on his blog, he believes that in the worst case scenario, privacy attackers can “make a big fuss” on the central node and eat data like crazy.
BCH’s “Cash Shuffle” project has an open source server with no extra cost in the process of use, which may achieve a truly decentralized peer-to-peer privacy guarantee in the future.
Privacy has been a concern for cryptocurrencies since their inception, and current solutions are cumbersome, inefficient and still risky. Maybe BCH, backed by blockchain company Coingeek, can bring a real privacy best-use money.
Source: BitcoinCash information public account