It is very difficult to achieve data protection through the top cryptocurrencies available. By default, neither Bitcoin nor Ethereum offer this functionality. StealthSwap can solve this situation, at least when it comes to ETH transactions.
Although all Ethereum transactions are pseudonyms, they do not offer any privacy. To achieve this additional level, users have to skip some tires, for example with a mixer. This is far from ideal and needs to be changed. Research is currently in progress to enable Ethereum privacy at the protocol level. However, it can take several years to achieve.
StealthSwap can offer an alternative. This is a new protocol that can implement protected payments on Ethereum. This allows users to send and receive ETH and ERC20 transmissions without revealing any personal information. This can be of great value to more and more users, especially when privacy coins have a clear need for such solutions.
All of this is achieved through cryptography with elliptic curves, OWL tokens, and ENS domains. Users can receive payments without leaving a trace. More importantly, the solution is based on the petrol station network. Keeping transaction costs down is a big selling point. Ethereum transactions are often too expensive to use often.
There is no central key or middleman under the hood. Users have complete control over their keys and funds. Using the StealthSwap SDK, the protocol can easily be implemented in existing and future projects on Ethereum. This includes dApp, DeFi solutions, etc.
For many people, the integration of a data protection layer at their disposal will be of crucial importance. While Ethereum may already have some anonymous solutions, they are all missing. Using a mixer is far from ideal as it requires “trusting” the person hosting the show. These aspects must be avoided at all costs.
The anonymity barrier must also be considered. Ethereum’s blockchain tracks user funds through the “account” abstraction, ensuring that any transfer to a specific holder can be tracked. All of this shows that an entirely different approach needs to be explored sooner rather than later.
It is still uncertain whether StealthSwap will fill the gap. On paper, it seems to have everything Ethereum users want and more. It is not yet possible to test on the main network, but time is an issue.