Litecoin’s Integration with MimbleWimble Privacy Protocol On Course Despite an Attack on Address Confidentiality Feature
The issue of privacy in digital currencies has been a complicated topic for all stakeholders including veterans in the crypto industry. Litecoin is currently in the process of creating an option for anonymous transactions within its ecosystem. However, MimbleWimble who are working together with Litecoin are under fire for building a protocol that does not feature full anonymity. The MW ecosystem provides confidentiality in the amount of transactions but does not conceal the account addresses.
Charlie Lee, Litecoin’s founder, has come out to defend the project in a tweet that showed he was aware of the inefficiencies. The LTC founder said that MimbleWimble’s limitations are well known and went ahead to suggest that clients could use CoinJoin to increase the privacy of transactions. He also noted that MW’s solutions are basically scaling, linking with other networks and confidentiality.
Litecoin’s community has been excited about this privacy project giving Lee some space to breathe since announcing the strategy. The Litecoin blockchain network will join the likes of Monero in providing anonymity in transactions once the integration with MimbleWimble is complete. This is expected to increase the LTC network's fundamental value and create an opportunity for a confidential transaction market share.
With the MW integration in progress, the LTC coin HODLers are speculating a price surge. As of press date, the LTC digital currency is trading at $56.68 with its market cap at over $3.6 billion. The crypto market is however currently bearish which has seen LTC drop by 4.68% in the past day according to coinmarketcap.
This limitation of MimbleWimble protocol is well known. MW is basically Confidential Transactions with scaling benefits and slight unlinkability. To get much better privacy, you can still use CoinJoin before broadcasting and CJ works really well with MW due to CT and aggregation. https://t.co/M5sx92nzlZ
— Charlie Lee [LTC⚡] (@SatoshiLite) November 18, 2019