Monero (XMR) is considered the safest cryptocurrency in terms of anonymity. While Bitcoin and other projects use transparency of blockchain, transactions with Monero (XMR) can be conducted completely anonymously. This makes it interesting for sensitive payment transactions, for example for political donations or private purposes. However, since there is also a likelihood of illegal activities and Darknet payments, the project is often criticized.
Other projects offer the possibility of private transactions, but many of them aren’t considered secure. Certain methods can be used to crack most algorithms and transactions can therefore be traced back. However, Monero (XMR) uses a so-called ring signature. With its help, it’s computationally infeasible to determine the sender, recipient, as well as the sum of the transaction.
The cryptocurrency is also interesting for miners and is enjoying increasing popularity. The Crypto Night algorithm not only relies on computing power but also makes normal computers suitable for mining. Bitcoin, for example, prefers participants with a lot of computing power, that can easily create monopolies in production.
Monero Criticism & Regulation: The USA and the European Union
The US Internal Revenue Service (IRS) recently announced a bonus for anyone who can provide transaction tracking solutions. Since Monero (XMR) has so far been considered the safest crypto for anonymous payments, most payment transactions are also conducted with it. This also applies to payments that are related to organized crime. Likewise, the European Union’s law enforcement agency (Europol) had identified many private cryptocurrencies as a major threat.
Why Should You Buy Monero (XMR)?
Monero (XMR) has consistently been one of the most popular and largest cryptocurrencies. This is also due to a strong community involved in the project. The developers are also among the best and form the basis for success. Since its creation in 2014, the project has grown steadily and integrated numerous new functions. This also led to strong price gains, making the currency very popular with investors.
Numerous reputable exchanges have listed the cryptocurrency and offer trading with it. Usually, the market with the highest liquidity is also the best choice. However, before investing in cryptocurrencies, investors should always conduct fundamental analysis in order to know the economic data of the project. Technical and sentiment analyses are important tools when it comes to assessing asset classes.
To increase security, cryptocurrencies should never be stored permanently on an exchange. They are often increasingly risky and can have security gaps. So far, several exchanges have fallen victim to a cyberattack, stealing customers’ credit. The safest option here is a wallet that stores an investment offline.
Conclusion: Privacy Is a Crucial Factor
Cryptocurrencies with a focus on anonymity and privacy could continue to rise sharply in the future. Due to the increasing transparency on the Internet, users are looking for solutions to disguise their own identity. The consequences of strong regulation can be seen in China, for example. Internet users there have only limited access to websites and are subject to constant control by the state. The future success of private cryptocurrencies largely depends on the respective regulations of the countries.
The anonymization of payment transactions doesn’t have to be equated with illegal activities. The most anonymous means of payment so far is cash, which is passed from hand to hand completely unguarded. Still, the bulk of illegal activity is related to cash.
Since Monero (XMR) not only counts as a private currency, but is also considered particularly safe, growth is likely to continue in the future. Since the project is in the hands of very talented developers, new improvements should continue to take place as well. Cryptocurrencies are still in a very early phase, which means that they are able to offer a lot of growth potential.
What do you guys think about Monero (XMR)? If you’re interested in buying the crypto, you should definitely think about doing this at Switchere. On our platform, you have an opportunity to buy and sell XRP in the fastest and most convenient way. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order. Feel free to use our services and have a great weekend!