IOTA Proposal to Give Users a Reusable Crypto Address With Zero Risk?
Those with a cryptocurrency wallet recognize that one of the major issues is that the transaction address is constantly being changed. The change of address feature is one of the mechanisms for blockchain to add security to the system and to avoid theft and fraudulent transactions.
Though some do reuse old addresses, the crypto community generally advises that a new address is used for every transaction because blockchain ledgers are public and transactions can be seen by others. Thus, transaction addresses can be seen by all as well.
One platform, IOTA is looking to alter the status quo by making reusable addresses with zero risk. Hans Moong, a member of the IOTA development team, mentioned the platform’s goals in a blog post this week, stating:
“The future we envision requires us to think ahead and often take the ‘difficult route.’ But we . . . share the same concerns and needs as others. It would be nice to have the option of at least one reusable address (like a traditional bank account) that can be safely used.”
IOTA’s blockchain network is different from that of other cryptocurrency platforms. IOTA also has more security issues concerning the release of private keys per every transaction. Aside from a few private blockchain networks and corresponding native tokens, the reusability of addresses without risk is still uncertain.
Even then, there are many users who tend to reuse their address in an attempt to avoid having to request a new address. IOTA’s team tried to address the issue by stating,
“We are currently investigating a possible solution to these problems on the protocol level, which requires only minor adjustments to the IOTA protocol. This may allow us to reuse special addresses an unlimited amount of times without reducing security, or even breaking quantum-resistance.”
The platform’s addresses work with every single transaction. The private key is revealed and unused IOTA funds in one’s wallet are then transferred to a remainder address after each transaction. This is done automatically by the IOTA wallet.
However, the proposal to make addresses reusable will ensure that a public key is created after every single transaction or after an address is used. Therefore, one could use the old address forever and still have a public key that is constantly changing.
Those who want to add another level of security may want to switch addresses for the purpose of avoiding the possibility of being tracked or having their identity revealed.