Private cryptocurrency – Here is what makes the currency so intriguing to traders!

With the winter session nearing in India, there are chances that a new bill will be introduced in the parliament by the Indian government. Token development services have led to the creation of different forms of cryptocurrencies. Private cryptocurrency is one such creation that is declared as a crypto asset that is spread across the world and is ready to be accepted for transactions.

Private cryptocurrency – What is so intriguing about it?

With the rise in Cryptocurrency trading in Kolkata, renowned cryptocurrencies like Bitcoin, Ether, and Dogecoin are counted as public cryptocurrencies as they provide more transparent transactions. But to some extent these cryptocurrencies are anonymous as all the transactions happening in the blockchain can be viewed by any person accessing the blockchain network. But things are different with private cryptocurrencies, as they come with built-in privacy features that help conceal user information or identities.

The difference between private and public cryptocurrencies can be a bit confusing at times, but there is a thin line that differentiates the former and the latter. A private cryptocurrency is one such digital asset that makes use of several cryptographic methodologies to conceal user information. This suggests that, in a network belonging to a private cryptocurrency, the wallet addresses remain concealed and the details of transactions remain hidden as well. This provides user privacy that cannot be offered by the public counterparts, and hacking events on private cryptocurrencies have been neutralized for being a more secure network.

What are some of the popularly used private cryptocurrencies?

There has been a surge in cryptocurrency trade in the last few years with a large number of crypto investors buying and selling several coins like Bitcoin, Ethereum, Litecoin, and others. With the evolution of blockchain technology and Token development, a new crypto community is created for private cryptocurrencies and coins used are termed as privacy coins. There are some of the major private coins or tokens hosting different built-in privacy features and can successfully keep users' identities and activities concealed while being traded.

·         Monero (XMR): Monero is a popularly used private cryptocurrency or token which is primarily known for to anonymize the users. This makes it difficult to trace the transactions in XMR and conceal the real identities of the users by providing a security bubble for any form of transaction using Monero.

 

·         Verge (XVG): Verge is a private coin that can also conceal user identity and makes use of ‘The Onion Router’ (TOR) which is tried and tested technology and also uses ‘Invisible Internet Project ’instead of the cryptographic techniques.

 

·         Zcash (ZEC): Zcash is the most acclaimed and enhanced private cryptocurrency for offering the most enhanced privacy features. ZEC is considered one of the best private cryptocurrencies for the implementation of a cryptographic tool called Zero-Knowledge Proof.

 

·         Beam: This is one such private crypto token that features the core security features giving total control over user’s privacy. Transactions with Beam remain private by default, and the blockchain network does not store any wallet address or private information.

According to a Cryptocurrency exchange development company, cryptocurrencies are yet to clarify the definition of private cryptocurrencies. Private tokens like Monero, Dash, etc. are such cryptocurrencies that can be privatised and used in transactions for offering privacy to the users and are categorized as private cryptocurrencies.