Increasing Anonymity In Bitcoin Amitabh Saxena 1, Janardan Misra , And Aritra Dhar2 1 Accenture Technology Labs, Bangalore 560066, India, Famitabh.saxena, Janardan.misrag@Accenture.com 2 Indraprastha Institute Of Information Technology, New Delhi, India Aritra1204@Iiitd.ac.in Abstract.
The main issue with bitcoin is with its wallet, where your bitcoin is stored. Cryptocurrency wallets are generally pseudonymous rather than anonymous. Bitcoin is often described as anonymous because it's possible to send and receive bitcoins without giving any personally identifying information.
When Storing Bitcoin In A Private Wallet, You Never Have To Provide Any Personal Information.
Bitcoin is not backed by any country or central bank, and can be used to anonymously buy services and goods online. Reasons for the lack of anonymity The anonymity of bitcoin is a double edge sword.
Bitcoin Is A Digital Currency Created In The Aftermath Of The 2008 Financial Crisis By A Pseudonymous Programmer/S.
It is anonymous in the sense that you can hold a bitcoin address without revealing anything about your identity in. You can easily transfer funds in and out of your anonymous bitcoin wallet, without having to supply any identification. Bitcoin is a p2p form of electronic payment system.
Achieving Reasonable Anonymity With Bitcoin Can Be Quite Complicated And Perfect Anonymity May Be Impossible.
Instead of disclosing personal information, users create any number of bitcoin identities/addresses, in the form of cryptographic keys, which are used to accept and send bitcoins. Identities are nowhere recorded in the bitcoin protocol itself, but every transaction performed with bitcoin is. No, bitcoin is not completely anonymous, as some people tend to believe.
A User Survey With 125 Active Bitcoin Users Reveals That 70% Associate A Medium Or High Level Of Anonymity With The Bitcoin Network And Rate Their Concerns As Either Low Or Medium.
In reality, this digital currency is pseudonymous since each user has a public address that can be traced back to a specific ip address or exchange account. You now need to send your bitcoins to an anonymous bitcoin wallet. Bitcoin, by contrast, is anonymous but not private: