Due to popular demand I’m back with a list of the new privacy coins on the block.
Some of the coins I’m covering today all have small market caps. This means they could be considered undervalued, but before we make that judgment call, let’s take a better look at what they each have to offer.
Before I get into today’s topic I feel like I’ve gotta ask... are we all having fun yet?
Is your HODLing strength being tested? Consider this a friendly reminder that you don’t take a loss if you don’t sell. Don’t get tunnel vision. Instead, let’s remember that this space is full of innovation.
On that note, let’s take a look at privacy.
The coins I’ll be going over today are Cloak, Spectrecoin and DeepOnion.
These last two are pretty new coins that seem to have gained a lot of attention and a loyal following who like to point out the fact that they utilize the privacy features of the Tor Network. But before we get into those, I think it’s fair to take a look at one of the original Privacy coins that decided to use the Tor Network in addition to their own encryption protocol.
If you’re not familiar with or need a refresher for what encryption is or how Onion Routing works, be sure to check the links down in the description to learn more.
Website claims:
"Fastest, most secure way to transact cryptocurrency using blockchain technology and truly next-gen ENIGMA encryption to create fully private transactions."
Features:
- Open source
- Proof of stake
- 6% annual interest for staking coins in the wallet
- Onion Routing privacy
- Enigma (allows for up to 25 ‘hops’ thanks to RSA encryption)
An open source project that uses proof of stake. They use the Tor or Onion Routing privacy abilities along with their own Enigma encryption. This encryption protocol allows for up to 25 jumps for a transaction. This makes tracking a transaction all the more difficult thus, further solidifying the privacy of a transaction.
Cloak coin is also proof of stake and they’ve organized their circulating supply in such a way that it will remain scarce. Also, if you choose to stake your coins, you will accrue 6% of your balance annually.
It’s current market cap puts Cloak as number 220 on CoinMarketCap
Website Claims:
"Premier privacy focused cryptocurrency"
Features:
- Open source
- Proof of stake
- Ring Signatures
- Tor+OBFS4
- 5% annual rewards for staked coins
Right off the bat I have to say that I like their website, no fluff, and they get straight to the point. They show the current features available today and those that will be coming in the future.
In addition to utilizing the Tor network, Spectrecoin also uses a type of obfuscation called OBFS4.
This could prove to be wildly valuable if more governments continue to attempt to block the ability to use the Tor network. Some countries like China and Saudi Arabia are attempting to do this by monitoring the data of users internet connections. Suffice to say that if they can detect Onion protocol they’ll do their very best to limit that connection. OBFS4 can make detecting this a whole lot more difficult.
So keep an eye out for other privacy coins that also use this type of obfuscation as it’s a good way to achieve a more encompassing privacy.
Spectrecoin also uses ring signatures which you may be familiar with as it’s also used with Monero.
They also offer a yearly reward of 5% for coins that you stake with their wallet.
The market cap of Spectrecoin is around the $33 million mark and it’s ranked number 250 on CoinMarketCap
Website Claims
"Anonymous and 100% untraceable cryptocurrency sent through the TOR network."
Features:
- Tor
- OBFS4
- Instant confirmations
- No ICO, distribution is achieved through Airdrops
- DeepVault- ensures immutability allows users to verify the authenticity of their stored files.
This one is pretty new, it was brought to us in the late summer of 2017. DeepOnion of course uses the Tor Network and they also use the same kind of traffic obfuscation as Spectrecoin in order to randomize the traffic on the network.
They also have DeepVault, which essentially guarantees that the data stored on the blockchain is completely immutable. This is verifiable by anyone who uses this feature by being able to check the hash of the files. If the hash has changed then you know your file has been tampered with.
One thing that sets DeepOnion apart is how they are achieving their coin distribution.
DeepOnion did not have an ICO, they chose to distribute their coins through weekly airdrops.
This is a great way to avoid individuals from accumulating large amounts of this coin and those being able to swing the market in anyway they want.
I’ll include a link down below that gives you up to date information regarding these airdrops and how you can participate.
The market cap of DeepOnion is around the $18 million mark and it’s ranked number 337 on CoinMarketCap
Additional Reading/Sources:
Encryption
Onion Routing
Great Video explaining Onion Routing
Cloak coin Website
Spectrecoin Website
DeepOnion Website