Benefits of an anonymous cryptocurrency wallet

It is commonly believed that cryptocurrencies are anonymous by default, but this is a mistake. Since 2014, hackers, large companies and government agencies have been able to obtain the IP addresses of crypto users by placing their own nodes around the world. When a computer synchronizes with a node, it reveals its address. To work with crypto assets and maintain privacy, you need to use an anonymous cryptocurrency wallet. 

In the article we will tell you why it is important to hide your real IP address, why VPN and Tor will not help you with this, and also by means of what technologies special wallets protect privacy.

Why is it important to use an anonymous bitcoin wallet?

There are several reasons for this, they are related to the reliability of storage and reducing the risk of blocking funds. Let’s describe them in more detail.

Asset and user security

Such solutions better protect cryptoassets from the actions of attackers. If they get their hands on a real IP address, it will not be difficult to calculate the physical location of the server on which the user’s crypto store is running. With the help of this information, it is also possible to find the owner of cryptocurrencies himself. We guarantee that he will not like meeting with hackers. 

Reducing the risk of blocking by the decision of various organizations

Sometimes an IP address is already a reason to freeze cryptoassets. If you have concerns about this, it is critical to use an anonymous crypto wallet, this will allow you to keep your funds safe. 

In addition, it is important to keep an eye on the risk level of cryptocurrencies, especially when it comes to business. Assets with different riskiness are suitable for different purposes, for example, you should not send high-risk funds to exchanges or exchangers, the probability of their blocking is so extremely high. For fast address verification, the product should have AML-check of the cryptocurrency wallet.

Dark Wing technology is on the guard of privacy

An attentive reader will ask: “Why do I need a dedicated wallet when I can use a VPN?”. Excellent question, indeed, with VPN enabled, the changed address will get to the node, but the problem is that the owners of VPN-services are obliged on request to transfer user data to the state regulators of the countries where their servers are located. As for Tor, you simply can’t connect to nodes through it, they block such connections. 

The team of BitHide, a crypto wallet for business, has found an effective and elegant solution to the problem of cryptocurrency anonymity – they have developed the Dark Wing technology. It is a simultaneous work of VPN and Tor, as a result of which the node gets three times changed IP-address of the user. You’d have to be a god to figure out the real one. 

Conclusion

Whether you will make transactions anonymously or not depends on you, and more precisely on the wallet you choose for storing and sending cryptocurrencies. Be careful in finding a solution to avoid getting blocked or losing your assets.