Better Bitcoin Privacy, Scalability: Developers Making TumbleBit a Reality
TumbleBit is probably one of the most promising technological advancements built on top of Bitcoin to date. Not only does it offer one of the best — if not the best — privacy related innovations so far, it can also provide significant scaling benefits as a payment hub. The solution is also fully compatible with the current Bitcoin protocol and, most important, it is in an advanced stage of development. “The prospect is good that before summer we will have software that regular users can safely use,” one of TumbleBit’s inventors, Ethan Heilman, told Bitcoin Magazine. NTumbleBit. TumbleBit....
As blockchain surveillance rises, the need for private financial transactions for bitcoin has become a holy grail for bitcoiners. Over the past few months, many Bitcoin proponents have been focused on the Tumblebit project, a protocol that aims to anonymize transactions. This week, the blockchain development company Stratis has announced “Breeze Wallet”, a protocol that will implement Tumblebit into a “real-world production environment.”
Stratis Announces ‘Breeze Wallet’ a Tumblebit SPV Wallet in C#.
Stratis is a blockchain development platform....
An innovation called TumbleBit that improves the privacy and fungibility of bitcoin transactions was presented at the Bitcoin Scaling conference in Milan, reports NASDAQ.
TumbleBit builds on the CoinSwap intermediary solution with added layers of cryptography to improve both the privacy and fungibility of bitcoin transactions.
The fact that the transaction history of each bitcoin is traceable puts all bitcoins’ fungibility at risk. “Tainted” bitcoins can be valued less than other bitcoins, possibly undermining bitcoin’s value proposition as money.
Over the past couple of months privacy-centric solutions have been growing in importance and popularity for the nascent cryptocurrency industry.
Privacy-Centric Tools Development Driven By Surveillance Concerns.
When it comes to cryptocurrencies one treasured goal is the ability to remain private, which requires both an anonymous and fungible currency. At times, it seems fungibility is the holy grail of the ecosystem. Bitcoin definitely achieves most of the qualities of sound money, but some believe it needs a lot of work in the development of fungibility.
Privacy cannot work....
The price of Bitcoin is difficult to predict as various factors impact the value of the digital currency. However, there are six major events that could lead to a surge in the price of Bitcoin in 2017. These include the activation of Segregated Witness, hereinafter Segwit, the release of Lightning Network and Tumblebit, approval of Bitcoin ETFs, the financial crash and economic instability.
Segwit, Lightning, Tumblebit.
Segwit, Lightning and Tumblebit are all scalability solutions initially introduced to facilitate larger amounts of transactions primarily to deal with the....
Bitcoin right now is not really anonymous. Monitoring the unencrypted peer-to-peer network, analyzing the public blockchain or Know Your Customer (KYC) policies and Anti-Money Laundering (AML) regulations can reveal a lot about who is using Bitcoin and for what.
This is not great from a privacy perspective. For example, Bitcoin users might not necessarily want the world to know where they spend their money, what they earn or how much they own; similarly, businesses may not want to leak transaction details to competitors.
Additionally, the fact that the transaction history of each....
Bitcoin is an interesting idea, but I think their mechanism for regulating the currency supply is fundamentally flawed. Because the Bitcoin supply doesn't increase in proportion to the growth or use of Bitcoins, there is a deflationary effect, creating an incentive for people to hoard Bitcoins rather than spend them. Gresham's Law in economics suggests that for a complementary currency to be successful, it needs to have an inflationary effect that exceeds inflation in the national currency.