“Biggest threat to Bitcoin is lack of privacy”, Weiss Ratings
According to the independent research firm, Weiss Ratings, the biggest threat to Bitcoin isn’t the price but rather the lack of privacy. Weiss Ratings published its finding on Twitter
— Weiss Ratings (@WeissRatings) January 29, 2019
Weiss Ratings also added that if Confidential Transactions aren’t added fast, Bitcoin would soon lose its position as a Store of Value.
Due to a number of centralized exchanges coming up, many of which require mandatory KYC, Bitcoin has started to lose its privacy aspect. Every major government’s cyber cell has the tools to map addresses and their transaction to specific users. This has led to a rapid rise of privacy coins such as Monero and ZCash.
Blockstream is aware of this problem and plans to introduce “Private Transactions” soon. The company will be testing “Private Transactions” on Litecoin first (which essentially acts as a light sidechain of Bitcoin) and if it is successful, PT will be implemented on the main Bitcoin [BTC] chain.
Some people in the cryptocurrency community believe that introducing privacy on Bitcoin blockchain would hinder its growth.
I agree, but I think privacy is going to draw more fire from gov
— Kevin Powell (@fretnkevin) January 30, 2019
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