Phantasma Ghost Mode
As discussed before, Phantasma is making use of side-chains to improve its scalability. Our blockchain already comes equipped with a series of built in side-chains where each chain provides a useful service. We will reveal those built-in services one by one along the way. The services that we are providing with Phantasma are usually something that you can already find in other projects, however with Phantasma Chain you won’t need a separate token or blockchain. This is in line with the goals of Phantasma: removing redundant tokens & chains, while providing an ecosystem that is both user-friendly and developer-friendly. More information about Phantasma Scalability and Side chains: http://bit.ly/PhantasmaScalability
Today we will discuss Phantasma’s privacy side-chain with anonymous transactions, which we call Ghost Mode.
Importance Of Privacy
It is currently misunderstood that cryptocurrencies like Bitcoin or Ethereum are anonymous and untraceable, the reality with a blockchain having a public ledger is that it is possible to follow the flow of transactions. While a public address is not enough to immediately associate it with somebody’s identity, given enough activity, transfers with centralized exchanges and other actions will make it possible to analyse and track users.
This is the reason why people tend to turn to privacy coins, which are cryptocurrencies that offer a higher level of anonymity. Every day more users are becoming more concerned about their own privacy, the recent events surrounding centralized platforms such as Facebook and Google have increased people’s awareness regarding protecting their data and more importantly their rights to privacy. Privacy coins are the best way to process blockchain transactions without exposing the users financial details to the public.
How Ghost Mode Works
Ghost Mode with Phantasma Chain works as a side-chain that allows users to send private transactions. This means that private transactions are possible with Phantasma, as they are an optional feature available within the Phantasma wallets and browser extension.
In technical terms, our Ghost Mode works based on the technology and concepts that powers cryptocurrencies such as Monero. The Phantasma privacy side-chain allows users to deposit tokens in an anonymous way using something called ‘’ring signatures’’. These are a special cryptographic trick that allows a group of people to come together and have some of them sign a transaction, while you can prove that a specific person is within that group, it is impossible to know who actually did sign it. Not only that, but it also allows to link signatures from different transactions. Meaning a user could join an anonymous group, do a transaction today and another one tomorrow, not knowing that this specific user made those transactions. The ring signatures allow the system to mathematically prove that both transactions were created by the same user and that the user who did it was part of a specific anonymous group.
By using this technique to create a temporary group with multiple users, everybody can join the group and send their coins to the group. Afterwards you can take the coins out onto a different address, while making it impossible to link the transfers. By varying the size of the anonymous group, it will naturally be possible to increase the level of anonymity even further.
Ghost Mode also makes use of shadow addresses, which allows the same wallet address to have multiple anonymous send and receive addresses to make things even more anonymous.
Since Ghost Mode is a more expensive operation for the Phantasma network, this also means that the fees to make a Ghost Mode transfer are slightly higher, with a percentage of those being distributed to the masternodes.
Ghost Mode And The Ecosystem
Since we are integrated with NEX through their APIs, we will be providing a unique solution that no other coin does. This means that anyone with a Phantasma Account that has any of the supported coins in their Phantasma wallet (e.g. BTC, ETH or NEO) can effectively benefit from our Ghost Mode and perform anonymous transactions. The initial coin will be automatically converted to SOUL through the NEX exchange. If the user chooses to use Ghost Mode, it will then go through the privacy side-chain and become an untraceable transaction.
Phantasma Chain is creating an ecosystem where you can use everything within the ecosystem with just one wallet address, which will be called the Phantasma Account. We provide multiple options within our blockchain for the user to be a part of the ecosystem, this has been and will continue to be one of the primary focuses of the Phantasma Chain Ecosystem. Stay tuned for more updates about Phantasma and all of the wonderful things we are bringing to the table in the next few months.
For more information about Phantasma Chain:
Website: https://Phantasma.io/
Telegram Channel: https://t.me/phantasma_io
Telegram Announement Channel: https://t.me/phantasma_announcements
Medium: https://medium.com/phantasticphantasma
Twitter: @phantasmachain
Reddit: https://www.reddit.com/r/phantasma
Discord: https://discord.gg/rYfajr
