Privacy while conducting business online is very important. It remains the single most critical need especially in the era where people have traded personal information for a free pass to many platforms online. Most social sites have exploited this aspect to build huge sets of data centred around the users that frequent these sites.
That, notwithstanding, it is possible to operate safely online and even keep your cryptocurrency dealings well above the prying eyes of individuals that harbour phishing interests. The most important approach, of course, is cryptocurrency mixing. However, plain old mixing may not be sufficient anymore!
To be on the safe side, you need to complement mixing with a raft of other privacy-promoting tools such as the Tor browser, use of Virtual Private Networks (VPN), and Virtual Private Servers (VPS), and anonymous wallets whenever possible.
Procedurally, here is how you can go about getting the most anonymous mixing:
Use Privacy-Promoting Tools
Under normal circumstances, privacy-promoting tools refer to the various instruments or devices that help make the General Data Protection Regulation complete. You know, implements like Data Loss Preventions tools, Endpoint Encryption devices, Mobile Device Management kits, and so on.
In the space of cryptocurrency transactions, however, privacy-promoting tools simply refer to the few online kits that help heighten privacy, such as mentioned above.
The Tor Browser
When undertaking cryptocurrency mixing, the most important of the tools referred to above is a Tor Browser. Developed by the Tor Project, Inc. and released in 2002, the Tor browser is a free, open-source software for anonymous communication.
Originally called The Onion Router, the Tor browser creates anonymity by directing internet traffic via a free volunteer veil network that has a worldwide reach. This overlay consists of some seven thousand relays, which together conceal the location and internet usage of an individual so that anyone that conducts traffic analysis or network surveillance cannot decipher the hidden information.
Every time you apply Tor, you make it difficult for anyone to trace your internet activity. You, as such, can transact on e-Commerce platforms, visit websites, make online posts, send instant messages, and complete other forms of online communications without the fear of detection.
A VPN refers to a facility that extends the breadth of a private network over its public counterpart and enable users to send and receive data over both public and shared networks as if they are operating on a private realm.
A VPS, on the other hand, is a service that internet hosting companies provide that allows users to run their versions of cloud storage, online document editors, internet services, among other related usages on a server the user wholly controls. It is up to the user, as such, to decide who access this information, and how long the information stays online.
Using these two services when mixing cryptocurrency substantially improves privacy since the user decides who to access the information.
Using Anonymous Wallets
If you want to hold a cryptocurrency, you must first have a digital wallet. By definition, this is a software program that keeps both public and private keys, and interacts with the many existing blockchain to allow users to send, receive and keep digital currency.
There are several kinds of wallets. The common being normal and anonymous wallets. Normal wallets can either be hot or cold; meaning, those that are online and wallets that are offline, respectively.
With the advances in technology, normal wallets are losing popularity. Chances of hitting them from whatever angle and running away with whatever is contained therein is getting ever so easy. People transacting in cryptocurrency use while exercising a lot of caution.
However, anonymous wallets are a lot more preferable and are becoming the infrastructures of choice.
Technically, an anonymous wallet refers to a cryptocurrency pouch that keeps your coins and allows you to transact without leaving a trace. There are a number of such wallets available both as software and as hardware. Of these, Ledger Nano S, BitLox, Samourai Wallet, Electrum, Ninja Wallet, and Wasabi Wallet, are popular.
This narrative looks a little deeper into the features of Wasabi Wallet, and how it helps you hold and mix cryptocurrency anonymously.
Wasabi is an open-source, non-custodial cryptocurrency wallet that also serves as a crypto tumbler. It uses coinjoin, a trustless shuffling mechanism that has mathematical provable anonymity.
On Wasabi, multiple participants combine their coins to make one giant transaction with multiple inputs and outputs. In such an arrangement, participants cannot align any input with its corresponding output. As such, it is impossible to determine the source of the coins going through the tumbler.
It has been clear from Day I that Bitcoin transactions are not anonymous. However, there are ways that can make you transact anonymously. Most of them have been highlighted here above. Just note that any device or tool that help encrypt your data while you transact is pretty much welcome. And, the more effort you put in erasing whatever trace you leave online, the more impossible tracking you becomes.