ONION - a truly anonymous cryptocurrency

Investing in cryptocurrencies reflects the investor’s opinion that in the future the cryptocurrency will be a functional means of payment. It’s that simple. How can the future of cryptocurrencies be predicted? Let’s have a look at it.

Today I have the honor to introduce you the cryptocurrency with a market cap below 50 million. It‘s nothing else than DeepOnion running on completely anonymous browser Tor. It’s obvious that anonymity is the area of weakness for bitcoin with node traffic being sent in an unencrypted fashion. Bitcoin’s peer addresses are clearly visible IP presenting a prime opportunity for targeted attacks and consequently network interruption. Protecting client’s wallet address is one of the most important things in protection identity of coin’s holder. This problem is tackled by DeepOnion’s implementation of anonymous Tor IP addresses. DeepOnion comprises of a number of technologies such as Zero knowledge technologies (Zcash), CoinJoin technologies (Dash) and Ring signatures (Monero). So it combines great characteristics of time-proven cryptocurrencies. For more, you can read my previous article about Monero.

I personally see a great advantage in the community around Tor. It has a large number of members and now they have the opportunity to improve DeepOnion project. It’s community reward programme that enables community members to earn ONION for their contribution towards the project. So it’s obvious that this project will be improving over next months and years.

Another great news is scalability (in contrast with bitcoin – at least before lightning network). The network can handle 63 transactions/sec. This is almost 10x the throughput of Ethereum and proves that DeepOnion is suitable for mass adoption as a cryptocurrency.

Using DeepOnion wallet

The first step is to download Tor (it’s free). As you probably know it’s a browser designed for anonymous surfing on the internet. There is no browsing history, no cookies and if you follow the basic rules, your internet activity is almost untraceable. So it’s very good environment for a truly anonymous coin. Now you can download the wallet and start to synchronize with the network. It takes about 2 – 3 hours to download all blocks at the time I write this article. Then you’re ready to receive your first coins. It’s super easy.

Threats

Distribution of coins could be a threat. It’s 90% premined which I see like a big warning. This 90% of coins (except 10% for dev team) is distributed via airdrops so it could become truly centralized cryptocurrency. And these days it’s extremely difficult to find out in which round of airdrop we are. Now I‘m going through DeepOnion forums and I see a declining interest in DeepOnion as in 2018 almost nobody posts about DeepOnion and that corresponds with the price declining from the peak on 10th of January. But this could be explained (at least one part of it) by the general correction in crypto world.

Conclusion

In conclusion, I can say that this is the cryptocurrency with a huge potential, thanks to a very sophisticated network allowing for truly anonymous transactions. On the other hand, it has recently been seen that interest in this currency has fallen, but I see it rather as an opportunity for a profitable purchase.

Disclaimer: This is my opinion and everyone is fully responsible for their own investment decisions.