Monero Strength Is That It Cannot Be Analyzed or TracedDecember 30, 2019
Monero is known as the king of privacy coins, and it is still under the control of the bears. Being an obfuscated decentralized public ledger, anyone can broadcast and send transactions; however, outside observers will not be able to tell the source, destination of the money sent. Among all the privacy-focused coins, Monero is the best.
Monero traded 3.4% versus the USD. The overall market capitalization trends somewhere around $820.07 million. Monero cannot be purchased directly; instead, buy Bitcoin or Ethereum with fiat, and later the cryptocurrencies can be converted to XMR.
Monero Transactions Are Untraceable
Privacy coins are considered a more significant threat than Bitcoin and Ethereum. An official from the European Cybercrime Center (EC3) stated that Monero transactions are not traceable. The EC3 was not able to trace down the details of neither the IP address nor the XMR movements.
While speaking at a conference at Blockchain Alliance webinar on privacy coins, Jerek Jakubcek of EC3 noted that Monero transactions could not be analyzed or traced.
Jakubcek stated that “Since the suspect used a combination of Tor and [Monero], we could not trace the funds. We could not trace the IP-addresses. Which means, we hit the end of the road. Whatever happened on the Bitcoin blockchain was visible, and that’s why we were able to get reasonably far.”
Monero Hides Traces of the Currency Transactions
Tor, on the one hand, hides only the IP address. Monero permits hiding the traces of the currency transactions; this is the strength of Monero.
The Europol makes use of Chain Analysis simulator to help with law enforcement. This testimonial from Europol vouches for the privacy of the public blockchain. The sooner the funds were transferred, the Europol stated that their investigation ended there.
“But with Monero blockchain, that was the point where the investigation has ended. Thus providing a classic example of one of several cases we had where suspect decided to move funds from Bitcoin or Ethereum to Monero.”
Trading privacy coins happens in only 32% of the top 120 exchanges. And, about 63% of them have KYC provisions which are not adequate, thus making the identification of the user difficult.
Some governments are putting privacy coins under fire, and many of them have passed laws to remove these privacy coins. The reason mainly being to prevent terrorism and money laundering.
The XMR prices are currently trading below the simple moving averages. The prices are trending downwards, and it is to be so until it touches upon critical support.