Blockchair has announced the launch of a new Bitcoin transaction privacy meter.
Today we release Privacy-o-meter – a tool for Bitcoin users and developers to assess the privacy level of their transactions. Many of you have heard about blockchain surveillance companies. Privacy-o-meter is the first step to defend yourself against heuristics they use. pic.twitter.com/g15TMgSYaw
– Blockchair (@Blockchair) June 24, 2020
This is the characteristic Privacy-o-meter built into your block browser and API, and allows users to measure the level Of privacy of a transaction.
Privacy-o-meter uses 50 heuristics to process the privacy level of a transaction, revealing how much information about the identity of the parties involved is made public by the transaction.
In fact, the Bitcoin blockchain, as is well known, is public, open, and transparent, so anyone can analyze it.
There are numerous blockchain analysis tools to track transactions, such as Chainalysis, Elliptical, CipherTrace, and Crystal, but they are paid tools, accessible to only a few.
Therefore, ordinary Bitcoin users can rarely perceive the privacy level of your transactions, which is often not particularly high.
Privacy-o-meter was launched precisely to help anyone verify the privacy level of a BTC transaction.
Specifically, it uses some indicators that include the number of transactions registered in the public addresses used, the number of addresses involved, rounding, the possible presence of multigrade and other parameters.
In general, even wallet manufacturers, in addition to ordinary users, do not pay much attention to raise the level of privacy of transactions, so many do not even show alerts when the user sends a set of transactions to have a level of low or very low privacy.
This means that compared to protocols like Zcash, Monero and Dash, the most transactions on the Bitcoin network are easy to analyze.
Bitcoin does not have a native transaction obfuscation feature, which can actually compromise scalability, and mixers are often expensive and not easy to use.
For these reasons, despite what many believe, The average privacy level of BTC transactions is quite low.
At least, once the transaction has been recorded, the new Blockchair tool helps users verify the effectiveness of the measures taken to safeguard their privacy.