Disclaimer: This article is sponsored by DAPS.
If you’ve followed the Bitcoin industry at all over the past few years, you’ve likely heard that Bitcoin is a “private” and “anonymous” cryptocurrency. While this is partially true, in that it can be nigh impossible to track users and their coins if the proper measures are implemented, Bitcoin is widely pseudonymous and traceable.
Similarly, not all “privacy” coins entirely live up to their premise. A majority of the transactional volume on ZCash, once lauded as the cryptocurrency for the privacy-consciousness, is traceable, not private as many have grown to believe.
DAPS, a privacy-centric blockchain whose mainnet launched at the end of September 2019, is looking to tackle this problem. And they claim to have the right solution.
DAPS, An Anonymous & Decentralized Cryptocurrency
Launched in mid-2018, DAPS is looking to solve the pertinent privacy issues that exist with Bitcoin and many of its ilk today: inalienable privacy.
While this may sound like a tall order, especially for a relatively new entree to the cryptocurrency space, DAPS has a plan. The plan is to establish the so-called “Harpocrates Protocol”, which will be a multi-faceted blockchain system that uses an array of consensus mechanisms and privacy features to create a “completely trustless anonymous blockchain network.”
The consensus mechanisms used by DAPS include Proof of Work, the contribution of computational power to process blocks, like what Bitcoin heavily relies on; Proof of Stake, a system that gives users the option to stake cryptocurrency and to acquire yield, thus securing the network; and Proof of Audit.
The privacy technologies used/will be used are as follows:
- Ring Confidential Transactions (Ring CTs)
- Stealth Addresses
- Stealth Transactions
- Proof of Audit
More information about the technical details of these solutions can be found through DAPS’s whitepaper.
DAPS believes that the confluence of all these different technological feats, arranged through the Harpocrates Protocol, will allow for a blockchain system that will enable efficient, private, and scalable cryptocurrency transactions — something largely absent from the industry as it stands.
Right now, the DAPS development team is working on improving the cryptocurrency’s codebase while starting a “true advertising campaign to bring DAPS to every corner of Earth [that will include] innovative marketing, partnerships, and honesty will be keystones to this expansion.”
The idea is to make DAPS a global cryptocurrency with the potential to bring true digital financial privacy to millions, even billions around the world. Whether or not this will happen remains to be seen, though.
Why We Need Private Money
So this may leave you wondering, why exactly do we need private money, something like DAPS, over traceable money, especially in today’s digital world?
Well, it comes down to surveillance, really.
Over the past few years, many have begun to fear the rise of the so-called “surveillance state” — an Orwellian world wrought with privacy concerns.
While many of these fears have been constrained to our data, the fears of an Orwellian future are spreading to finance. There are countless headlines reading that prominent figures, media, or websites/services have been ‘de-platformed’ or blocked by platforms like PayPal for not sharing the right message, not condoning by a strict standard, or being associated with the wrong people. Case in point, a Toronto, Canada-based coffee shop was blocked by American fintech company Square for using Cuban products.
It’s already worse in China. There, access to certain services, jobs, homes, and areas can (and will) be restricted due to a “social credit” system, which is believed by many to take one’s financial transactions and scrutinize them for activities that don’t abide by China’s rule.
Andreas Antonopoulos, a long-time Bitcoin educator, has likened this form of indirect censorship to a violation of free speech. The Greek-British author and coder often claims that money is a language, and that making certain transactions illegal or cutting people out of infrastructure is a growing issue in today’s society. As Rob Paone of Proof of Talent, wrote on Twitter: “going cashless means a financial surveillance state.”
What’s wrong with surveillance? Governments with access to everything can theoretically protect citizens from criminals. But, as crypto researcher Hasu and Three Arrows Capital’s Su Zhu wrote in an extensive post on digital cash, “The specters of terrorism and organized crime are often cited [for the need for survillence]. But this makes the naive assumption that governments itself can never become evil.” The duo writes that cashless societies are less, not more, susceptible to tyranny, overreach, and authoritarian policies that can end up forcing society into a corner. Just look to North Korea as a perfect case in point.
As DAPS has written, “Privacy is a right, not a privilege.”
Too Long; Didn’t Read Conclusion
To conclude, DAPS is a privacy-centric blockchain and cryptocurrency that is focused on providing netizens with secure, scalable, and entirely private transactions. In a world where surveillance is the new norm and cryptocurrencies are going mainstream, such a value proposition is needed.
DAPS is accomplishing this by building out a trustless governance system, which is based on technologies used by Monero and PIVX, and implementing breakthroughs in blockchain technology: DAPS is the first blockchain to operate on a dual system of stakers and masternodes while offering private transactions enabled by RingCT and Bulletproofs.
More data on DAPS can be found at the following links, in case you want to find out more information about this cryptocurrency/blockchain project.
Photo by Noah Silliman on Unsplash
This article is sponsored by DAPS. Readers should do their own due diligence before taking any actions related to the mentioned company or any of its affiliates or services, including investing in the cryptocurrency. Live Coin Watch is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.