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Author Topic: Why do privacy coins do so poorly?  (Read 269 times)
HELLOFF
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August 04, 2019, 11:29:40 AM
 #21

It seems to me that the cryptocurrency market is still at the initial stage of its development, and some coins, as well as some projects are not yet in demand in society and do not have not only their fans, but also their practical direction.  I think that in the future this situation should change.
dearbesz1219
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August 04, 2019, 11:34:17 AM
 #22

Because many people do not believe that anonymous cryptocurrencies have a future.
If yes, then it wouldn´t be hard to add second layer solution to Bitcoin blockchain with privacy feature.  Wink
sorrros
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August 04, 2019, 01:17:58 PM
 #23

When you own privacy coins, you know that each time when you withdraw your funds into a real life, someone will find you. No matter you have privacy coins or pseudo anonymous coins, you can be easily tracked when you exchange it into real money or other stuffs in a real life.

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bitsurfer2014
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August 04, 2019, 01:47:41 PM
 #24

There simply is not enough demand for those coins.

This is true! but we have to point out its main cause - (the lack demand) which I think that there are simply too much competition and these privacy

coins are really hurting one another which should even make it more unappealing to the investor community and all of its supporters regardless on each

coin's unique innovative features!
terencio
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August 04, 2019, 06:40:56 PM
 #25

The issue of privacy coins and investors terrified to invest on it, because of the notion that government is banning privacy coins and the government is very focus on making crypto transparent.

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August 04, 2019, 07:12:07 PM
 #26

Even the best known one, Monero, has <1% of the market cap of bitcoin, it's really shameful. Is the reason these coins do so poorly because they are badly designed (which could be everything from the issuance to the mining to the cryptographic protocol to the governance), or is it because no one cares about privacy? Or is it because privacy is difficult to achieve today because of lack of DEX?

Have you seen any store that accept Monero? I still haven't, but I know a lot of stores mainly computer and electronic shops that accept BTC so that is the answer to your question. If world politics starts changing and people suddenly feel the need to hide for god knows what reasons, then you will see rise on demand for privacy coins. But it's unlikely that regular shops that sells TV and washing machines would need to hide their customers privacy.

That kind of coins will be reserved for something else and are probably used even as we speak for kind of stuff where people don't feel comfortable to state their full name or credit card number that can be traced to them.






hatshepsut93
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August 04, 2019, 07:12:13 PM
 #27

They perform poorly because their future is even more uncertain than future of cryptocurrencies like BTC or LTC - regulators really don't like privacy coins, we've already seen exchanges delisting them because of regulatory pressure. I believe there's a high chance they will be outlawed in the future, because with Bitcoin people say that only 1% of its transactions are illegal, but what's the share of illegal transacitons of Monero? Definitely much higher. And what sane investor would put they money into an asset that could be outlawed.

DeepChipolino
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August 04, 2019, 08:03:50 PM
 #28

There simply is not enough demand for those coins.

As long as governments don't tighten their grip on bitcoin and other semi anonymous blockchains, people will keep using them.

Monero's only chance is if the government start to track and tax or question every known bitcoin holder. That's when people are going to give up and move to the anonymous blockchains. I don't see it happening in the near future but there is a possibilty.

Govs wouldn't wanna scare people to a system where they have no power over from a semi-anonymous blockchain ledger where they can see all the transactions.

I believe in bitcoin but right now it is probably a good idea to buy some monero and hodl in case some unwanted shit happens to btc.
Govs are not so dumb as not to know about privacy coins. If they are deal seriously with cryptocurrency, they will not miss anonymous coins. Who knows what their technical capabilities are? Therefore, I would not expect the renaissance of privacy coins just because governments will press crypto.

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August 04, 2019, 08:11:54 PM
 #29

It is extremely difficult to achieve full privacy at the moment, especially when even the largest DEX is integrating KYC process. Furthermore, privacy coins should be eliminated from the market if we really want to achieve the mass adoption.


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August 04, 2019, 08:47:45 PM
 #30

Probably because very few care about privacy/anonymity,  people are ignorant of things that actually improve privacy or maybe many care but don't see the need for them now.


I guess privacy stuff will become popular in a genocide-like, lawless or chaotic state.


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