What you’ll learn
- The tension between transparency & privacy
- How crypto anonymity intersects with you real world identity
- How blockchain analytics is big business
Part of blockchains value is that they are permissionless. There is no central authority needed to facilitate and authorise transactions – instead it is the technology itself and its consensus mechanism that reaches agreement on the accuracy of transactions and to provide finality of settlement.
The other critical aspect of blockchains is transparency. Anyone with an internet connection can access crypto transactions Many mistakenly believe that cryptocurrencies enable completely anonymous transactions, but this isn’t the case. Knowing just how crypto visibility works is a crucial part of the learning process.
In many ways, transactions processed on a blockchain are much more visible and therefore more open to scrutiny and analysis than traditional financial systems.
There is a clear tension between transparency and privacy, which is an on-going battle in crypto. As the industry is maturing, it is increasingly emerging as a competitor to traditional centralised financial systems.
Many encourage this as a way of tackling crime and creating a fairer, more accessible financial system. Others argue that without safeguarding privacy now, the transparency that blockchains promote may be weaponised against users.
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