RE: Are privacy coins the future?
I have been warning my friends and family about privacy coins for a while. First of all they only reason why they wanted to invest in them is because they see a future utility in them- not that they have any usage for the privacy in the near term. Secondly they are trying to invest into technologies which they don't fully understand and this could have potentially devastating impacts.
The main problem with privacy coins is in fact their main function: the privacy. This allows people to use the currencies for hacking, money laundering, address tumbling and a whole range of other problems we have yet to fully discover. Don't get me wrong I believe there is a definite use case and purpose for privacy coins but the way that they are being utilized currently puts them in a bad light.
Once the Japanese exchanges delisted the privacy coins after the massive hack which used them to launder funds I saw the full scope of the issue at hand. Exchanges want to encourage safe practices while maximizing freedom and privacy coins jeopardize this delicate balance.
Yep, that is exactly the problem. They will always be used for nefarious things as long as they are anonymous. The question is how big of a market will this present in the future?
Somebody mentioned how there is hundreds of billions in Swiss bank accounts and some of that money could make its way into crypto via privacy coins. Definitely a possibility that some of that money has already made its way into crypto O.o
Yep, I agree, on both points. Does that mean the market is potentially a couple billion or hundreds of billions?