Developers have long worked to make Bitcoin more private since every bitcoin (BTC) transaction ever made is recorded on the blockchain, which anybody can see. Last week, Bitcoin privacy programmer Chris Belcher published an early version of Teleport, an implementation of the privacy method “CoinSwap,” in an effort to improve bitcoin privacy by making transactions “invisible.”
According to Belcher’s statement on the Bitcoin developer email list, the initial version of the open-source project is not suitable for real money since it requires additional testing. It also lacks essential characteristics required to completely conceal transactions. However, the CoinSwap project, which has been in the works for a long time, is now coming to reality. Gregory Maxwell, a cryptographer, discussed it on the Bitcointalk forum in 2013.
Belcher believes Teleport’s CoinSwap offers benefits over CoinJoins, the primary privacy-preserving technique used today by projects such as Wasabi, Samourai, and JoinMarket. “Imagine a new bitcoin privacy technique, like CoinJoin, that can’t be stopped from seeming precisely the same as conventional, “Belcher said on Twitter.
CoinJoins operate by combining a user’s bitcoin with the coins of many other users and concealing the tracks of the coins. People who value their privacy can use the Wasabi and Samourai wallets to do CoinJoins. The difficulty is that even if CoinJoins obscure where a user’s bitcoin is sent, fooling blockchain observers, it’s still evident from a glance at the bitcoin blockchain that a CoinJoin has occurred.