Maintaining anonymity has always been an attractive prospect for investors and buyers, but it’s never as easy as it seems. How do you stop someone from tracing money or actions back to you? Private cryptocurrency solutions like BlackHat Coin claim to have an answer – let’s take a look at whether it’s effective.
BlackHat Coin is a private cryptocurrency that combines PoS consensus and a zero-knowledge proof system to provide fully anonymous transactions for its users. It uses the zk-SNARK Sapling protocol from the experts at Electric Coin Company (the team behind Zcash) to offer a private layer that doesn’t communicate transaction amounts or the identity of the individual making the transaction.
zk-SNARKs represent a type of non-interactive zero-knowledge proof, meaning that transactions can be validated by a common reference string – this removes the need for any type of identification. Wallet holders using BlackHat Coin can, therefore, enjoy full privacy regarding their balance and spending.
It operates using a proof-of-stake system, so users who keep coins in their wallets automatically become part of the mining process with no need for specialized equipment. In addition to the conventional PoS reward system, it offers the option of “cold staking”, wherein users can apportion coins to an active hot wallet that uses the coins to stake but doesn’t have access to them otherwise. The coins remain under the control of the owner and again, cold staking is fully anonymous.
Users can choose to set up MasterNodes, which will involve them in the governance of BlackHat Coin. This includes the right to vote on the private cryptocurrency’s direction and approve community-funded projects. MasterNode ownership and voting are protected by the privacy layer and therefore anonymous.
There will be 21m units of BlackHat Coin (BLKC), with 1m pre-mined and 200,000 burned on May 25th, 2022. The network has a maximum TPS of 173, with the average block mining time around 1 minute. A portion of each block mined will be allocated to the community treasury.
Wallets are available on all major operating systems and the private cryptocurrency can be purchased via several major exchanges.
- Create a wallet to store currency.
- Purchase BlackHat Coin via one of the exchanges listed on its site.
- Either stake using PoS with the coins in your current wallet, or create a hot wallet that will automatically involve you in the PoS system.
- Earn mining rewards – 40% of rewards go to PoS users and 60% goes to MasterNode operators.
- Apportion coins from multiple wallets to a single hot wallet for enhanced staking.
As a private cryptocurrency protected by a zero-knowledge proof system, BlackHat is a good choice for anyone looking to protect their identity while buying or investing. Non-interactive verification means that nobody needs to know your business – no bank or authority can trace your activity because it’s protected by an automated and fully private layer.
As a PoS private cryptocurrency, it’s much more efficient than many proof-of-work currencies that were set up in the early days of zero-knowledge-proof private cryptocurrencies. Being able to passively and anonymously earn rewards through a hot wallet will also appeal to many cautious investors.
The Electric Coin Company (ECC) is the team behind the zk-SNARK Sapling protocol, which is what BlackHat uses to guarantee privacy. The project itself is community-driven and perhaps unsurprisingly, most parties are anonymous.
The currency aims to realize a long-held ambition of bringing private cryptocurrency into the mainstream. The concept has been around for some time but projects using zero-knowledge proof encryption have struggled to compete with larger, more open currencies.
BlackHat Coin has the potential to protect crypto investors in a way that other projects simply can’t. Its private layer is designed by the best in the field at the ECC, and it may have an exciting future – buy coins to get involved.
Is BlackHat Coin legit?
The currency seems safe and well-managed.
What is a private cryptocurrency?
A private cryptocurrency communicates no information about the user when making a transaction or storing currency.
What does zero-knowledge proof mean?
A zero-knowledge proof is a cryptographic concept that answers a question with no additional information given.