Send Bitcoin Cash over the Web in a Private Fashion Using Tor
There are several ways to add layers of anonymity to Bitcoin cash (BCH) transactions such as using a VPN or shuffling coins with mixers. One way to anonymize when using the BCH chain is by using free Tor software while transacting online using the internet. This way, internet traffic is encoded and routed throughout the overlay network using nodes. Tor won’t hide the transaction’s path, but bit-coiners using the Tor network can make it extremely hard for investigators to pinpoint their IP address and geo-location.
The Overlay Network Known as Tor
When Satoshi Nakamoto launched the Bitcoin network, the creator did not make the protocol anonymous. The network is not private and all the transactions broadcast over the network are available to see by anyone with a copy of the block-chain. However, the technology is pseudo-anonymous and when transacting with a crypto-currency like bit-coin cash, users can add a few levels of privacy to obfuscate BCH transactions. One privacy method crypto-currency proponent’s use is the Tor protocol, an overlay network consisting of thousands of nodes that conceal a user’s location. If a person were to send a bit-coin cash transaction using the Tor network it would help encrypt and route the web traffic, which essentially hides the user’s location and internet provider (IP).
They can use a virtual private network (VPN) to entomb their internet traffic further. Both Tor and a VPN will aid confuse online investigators looking for the exact location of a user who has initiated the transaction. Tor will not conceal the original BCH addresses or destinations, as block-chain surveillance can follow these inputs and outputs. A user who wants to overcome this anonymity hurdle has to use a crypto-currency tumbler or mixer to hide the fund’s original derivation and paths going forward. If a person uses Tor coupled with a VPN and then uses a bit-coin cash tumbler as well, the chances of the owner being found are much slimmer.