More Bitcoin than ever was just made private with this technique
A privacy strategy known as CoinJoin has been used to make roughly 70,000 Bitcoin private this month alone. That’s big deal, says Wasabi Wallet contributor Max Hillebrand.
More Bitcoin than ever was made private this month through an anonymization strategy known as CoinJoin. And if you own Bitcoin, but use centralized exchanges or other similar services, privacy experts say you should probably consider doing it too.
Bitcoin mixers that use the CoinJoin technique, such as Wasabi and Samurai Wallet, have seen huge growth in recent months, according to open source data shared by Wasabi contributor and educator Max Hillebrand.
Non-custodial wallets (i.e. wallets which enable users to control the private keys to their own funds) like Wasabi and Samourai allow users to CoinJoin their Bitcoin by paying a small fee to have their Bitcoin mixed with others to obfuscate their transaction history and links to identities.
According to the data, around 70,000 BTC (roughly $644 million at today’s prices) were made private in May. This cumulative total may be off slightly for “false positives,” as a kind of CoinJoin called JoinMarket is difficult to track, according to Hillebrand. “I’m pretty confident that the numbers for Wasabi and Samourai are accurate though,” he told Decrypt.
While the total number is impressive, “Fresh Bitcoins CoinJoined,” or coins that were mixed for the first time, are also on the rise again after peaking last year. “The more peers use CoinJoin, the higher the anonymity set,” he said. “Thus the higher the overall privacy.”