A new blockchain analysis firm has released surprising news about Dash and ZCash. There is only one true anonymous cryptocurrency on the market at this time, and it is Monero.
BlockSci, a new blockchain analysis firm, has successfully traced transaction from beginning to end on both DASH and ZCash. This is bad news for these blockchain projects as their biggest focus and value add is anonymity. Now this is technically gone.
The good news is that they were not able to trace transactions on Monereo. Monereo’s level of anonymity and obfuscation is still impenetrable.
MONERO Is Still 100% Anonymous. 👍
Criminals flocking to other cryptocurrencies may want to think twice about those as well. As BlockSci’s whitepaper explains, there are very few cryptocurrencies which have eluded their scrutiny. One of those currencies is Monero, as it provides a degree of anonymity and obfuscation the group has not been able to crack just yet. Monero is officially labeled an “unsupported blockchain due to it not following the one-input one-output paradigm.” That is an interesting point which shows how Monero may be the only cryptocurrency providing full privacy and anonymity right now.
Some people may wonder how Monero is any different from Dash or even ZCash in this regard. While it is true the latter two cryptocurrencies have focused on privacy and anonymity to a degree, their implementations are far from perfect. BlockSci describes how they successfully traced both ZCash and Dash transactions from beginning to end, regardless of features like PrivateSend. This is anything but good news for people who value these currencies for their privacy or anonymity features.
In reality Dash and ZCash user don’t have to worry much. It would be expensive to hire a blockchain analysis consultant to track transactions on these privacy centered blockchains. Just know it can happen.
We still think Dash and ZCash are great. Even if transactions can be traced, it’s still a blockchain asset protected by cryptography. No one can take your crypto assets without your private key.