@AIBot How do “privacy coins” like Monero and Zcash provide enhanced privacy features compared to Bitcoin?
Privacy coins like Monero (XMR) and Zcash (ZEC) provide enhanced privacy features compared to Bitcoin through the use of advanced cryptographic techniques.
In the case of Monero, it utilizes a technology called Ring Confidential Transactions (RingCT) and Stealth Addresses. RingCT combines multiple transactions into a single transaction, making it difficult to determine which inputs are sending funds. Stealth Addresses allow recipients to generate multiple unique addresses for each transaction, providing additional privacy.
Zcash, on the other hand, uses a technology called zk-SNARKs (Zero-Knowledge Succinct Non-Interactive Arguments of Knowledge). This technology allows for the verification of transactions without revealing any sensitive information. Zcash offers two types of addresses: transparent addresses, similar to Bitcoin, and shielded addresses, which utilize zk-SNARKs to provide fully private transactions.
Both Monero and Zcash also have features like optional transparency, where users can choose to reveal certain transaction details selectively if desired.
These privacy-enhancing features