As we all know by now, the popularity of currencies like bitcoin, ethereum has caused a surge in both, small and large scale investments in this domain. However, as a result of this, there have also been many issues related to privacy and transparency that have come up, and which need to be addressed.
What Is Coinmix?
Coinmix is being touted online as being the world's “first Bitcoin Cash coin mixer”. What this basically means is that it aims to help “improve our privacy” through the breaking of any links that might be present between us and our payment destination.
In terms of its working, we can see that Coinmix possesses a large pool of “pre-mixed coins”. When we make a transaction through Coinmix, the system automatically puts our currency into the queue, and then uses the oldest coins in the pool to issue our payment request. As a result of this, our transfer becomes untraceable.
Return Address option:
This feature basically allows us to break our amount into smaller pieces before it is sent out to its destination.
This option allows us to delay our transaction for “a certain number of blocks.“ As a result of this, it becomes much harder to link our payments.
Good Random Selection:
The algorithms used by this platform ensure that “no destination address will ever receive any of the deposits directly”. Due to the mixing processes used by the software, all of the BTC have to travel through different addresses before they reach their intended target.
Coinmix uses a ‘lottery system’ that charges a small fee, so as to deliver users with a host of incentives. According to the company’s website, ‘Each mixing transaction collects all the fees for pending orders. It then adds part of it to the round prize and part to the jackpot’. As a result of this, the chances of winning the lottery are increased when we send more money via this platform.
In order to improve privacy, the fees are kept dynamic. What this basically means is that if the amount being transferred is less, them the fee is more and vice versa.
In order to maximize user privacy, all of the orders that are recorded within the database are only done so for the time it takes to process them. For example, after a period of 24 hours (when all of the transfers have been executed), the logs are deleted automatically and the database record is overwritten with blank values. Lastly, no IP's are stored in the database.
Fee Distribution Structure
- 35% goes to investors.
- 30% goes to the round prize.
- 20% goes to the jackpot.
- 10% goes into reserve.
- 5% covers mixing transactions fees.
To make use of CoinMix all interested parties can simply visit the official web page and start using the software. The entire process for making payments is quite straightforward, and can be grasped within a matter of minutes. If there are any issues that one faces, users can directly get in touch with the creator of this platform, by emailing him.