In the 21st century, people try to be careful in everything they do. Many investors choose anonymous cryptocurrencies, because third parties will not have access to their personal data.

Privacy concept

The analogue of confidential coins is cash. When people withdraw money from ATMs, the transaction will be recorded. But everything that will happen in the future with this amount will remain a secret. The concept of cryptocurrency anonymity is similar.

Regular cryptocurrency exchanges require verification of identity. In this case, altcoins can be tracked and costs can be analyzed. The peculiarity of anonymous assets is the impossibility of monitoring the distribution of funds after being credited to an electronic wallet. Users have the ability to convert assets into fiat.

Specifics of pseudo-anonymous cryptocurrencies

They reveal the identity of the owners of the currency, but the financial transactions are transparent. They are not difficult to track. To avoid being tied to the user’s identity, experts advise entering a new address for any transaction. But it is important to understand that all transactions on the Bitcoin blockchain can be tracked. Later in the review we will talk about 10 anonymous cryptocurrencies. If they are used, it is impossible to trace any transaction.

Monero

The anonymity feature is installed by default, but it takes longer to complete the operation. You can easily hide the identity of the sender and recipient of funds. You can also hide the amount of coins that one person transfers to another.

Dash

Dash is a secure and anonymous cryptocurrency designed as an alternative to Bitcoin, with a higher level of security. The Dash cryptocurrency, also known as Darkcoin or XCoin, is completely decentralized and does not depend on external regulators.

Komodo

The platform uses innovative technology. All projects are an independent blockchain. They join a common ecosystem. You can create your own blockchains, and they will be anonymous.

Zcash

We are talking about a digital currency that operates on the basis of the Bitcoin source code. Transactions are securely protected. Complete confidentiality is ensured. During the transaction, you must enter a special address. Anonymity depends on it.

Bytecoin

This cryptocurrency was created in 2012. The anonymity of coin holders is ensured through ring signatures and hidden addresses. Transfers are carried out quickly. They cannot be tracked.

Bitcoin Private

This cryptocurrency runs on a combination of Bitcoin and ZClassic. In fact, a fork of the world's first blockchain. Operations are carried out without intermediaries. The coin is safe and anonymous.

Verge

Cryptocurrency is heading towards protecting confidential data. It was launched in 2014. Verge attempts to solve the problem of user anonymity through purely technical means, using proven TOR and I2P technology to achieve its goals of protecting user privacy.

This is an equally popular anonymous cryptocurrency. She appeared in 2014. The currency has been improved. Operations are carried out through classified transactions.

PIVX

The currency represents an instant confirmed transaction. Initially, the coin was called Darknet, then it was renamed.

Zcoin

Transactions are recorded in a public ledger. To ensure anonymity, the protocol uses a minting mechanism. Digital assets are burned and a private cryptocurrency is created. The coins have no transaction history.

Pros and cons of anonymous cryptocurrency

The advantages, first of all, include confidentiality. You can hide any amount of transactions. Transactions are anonymous. Despite the undeniable advantages, there are still disadvantages. For example, there is no way to embed a script in transactions. You need to be prepared for the fact that operations may cost more than usual.

In any case, you need to remain vigilant. Recently, scammers have become more active. Attackers can look at old transaction records because the upgrade only applies to new transactions.