TechCrunch / Flickr

Ethereum (ETH) creator Vitalik Buterin thinks privacy is a missing ingredient of the largest smart contract-driven blockchain ecosystem.

In a recent blog post, Buterin broke down the current state of transactions on the Ethereum blockchain and what he believes can be done to improve user anonymity.

“Currently there are large privacy problems in the Ethereum ecosystem,” said Buterin in the post. “The default behavior is to do everything through a single account, which allows all of a user’s activities to be publicly linked to each other. It seems like this can be improved by using multiple addresses, but not really: the transactions you make to send ETH to those addresses themselves reveal the link between them.”

As a solution to the issue of privacy, Buterin proposes a simple mixer for sending fixed quantities of ETH from one account to another. These transactions would not be visible on-chain, and would likely be most applicable for use with small quantities of ether.

In a follow-up, Buterin told Coindesk, “The main use case I’m thinking of is a one-off send from one account to another account so you can use applications without linking that account to the one that has all your tokens in it. So even though it is a 2m gas cost, it only needs to be paid once per account, not too bad.”

More: Vitalik Buterin’s Blog Post
Recent: EU Authorities Shut Down Bitcoin Transaction Mixer
Image: TechCrunch / Flickr

Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.



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