Veil — A Hidden Gem with a Disruptive Innovation in Privacy

Cryptounicorn
Mar 28 · 6 min read

It might be worth taking a serious look at Veil before it becomes ‘unveiled’ by too many…

I’m writing this today to inform you about an inspiring project that is currently in its early infancy that has some special technological innovations that you won't want to miss out on learning about. The project is showing significant momentum in regards to developments being released to the public recently with no signs of slowing down.

Veil is an open-source, hybrid blockchain project that was launched on January 1st, 2019. Veil Labs is a professional team of developers that are dedicated to pushing the technological boundaries in blockchain, cryptography, and privacy technologies. They plan to implement innovative technologies into Veil in an effort to maintain the project’s competitive edge as a market leading privacy-focused cryptocurrency. Veil Labs also encourages other projects to adopt Veil’s innovations in order to advance the cryptocurrency space as a whole.

Innovative & Efficient Always-On Privacy

The Veil project makes use of Particl’s RingCT technology together with another technology called Zerocoin proofs which were first implemented in Zcoin. Both of these two approaches have benefits and trade-off’s, but when combined in tandem, it creates a superior privacy solution to either technology alone.

Many are familiar with zerocoin-based networks such as PIVX in which coins have a publicly visible ‘Basecoin’ state in which coins can be converted to Zerocoins which are essentially freshly minted coins without any prior transaction history. It’s a great privacy function but the technology doesn’t get used much in the projects that have implemented it. Veil, however, has built the protocol in a way that incentivizes the use of Zerocoins. (In other privacy projects with this tech, less than 1% of transactions are private transactions).

RingCT obfuscates the value of funds being transferred so that no one can see how many coins composed a transaction and serves as full-time privacy making use of sophisticated mixing. Bulletproofs have also been implemented which significantly reduces transaction sizes. Veil also supports the Dandelion protocol which makes it nearly impossible to trace a transaction back to its source node on the network.

Hybrid Consensus Mechanism

Veil boasts a hybrid Proof-of-Stake (POS) and Proof-of-Work (POW) system with a well thought out approach that will foster maximum decentralization.

POS as a consensus doesn’t require specialized expensive mining technology which opens up the capability for substantially more users to participate in the reward mechanism. POS requires users to keep a wallet open and connected to the internet. Veil’s innovative approach to POS is that only Zerocoin denominations are capable of being staked. This will enhance the coin’s overall privacy by bringing incentives for using privacy technology. All veil balances will be set to auto-mint to denominations of 10, 100, 1000, and 10,000 Zerocoin veil which also helps enable privacy by default.

The POW mining algorithm uses the ASIC-resistant X16RT hashing algorithm which is an improved version of the X16R algorithm introduced by the Ravencoin project making GPU’s the best way to mine. This makes Veil a great coin for the at home miner to be able to feasibly contribute their hashpower to secure the network resulting in far superior decentralization and economic opportunity for the smaller scale miner.

Enhanced User Experience

Veil recognizes that mass adoption of new innovative technologies is difficult when the user experience is not easy, and thus Veil labs is focused on making it easier for the common user to use the technology built into Veil. Thus Veil developed multi-transaction Zerocoin spends as a solution.

Those who have used Zerocoin systems may realize that due to the computational and transaction size requirements that most projects limit users transactions to a fixed number of denominations of zerocoins. This creates a negative in ease of use by limiting the amount a user can spend in a single transaction. Veil solves this issue with multi-block transactions that are transparent to the user whilst allowing them to create sends of any size.

To avoid the need for file backups, the Veil wallet supports a single BIP 0039/BIP-0044 Deterministic Seed which allows the capability of an entire wallet to be restored including both Basecoin and Zerocoin transactions. In the past Zerocoins caused complications with wallet backups thus harming user experience.

When phase 2 of the Veil wallet is unveiled, users will have the option to dramatically reduce the amount of local disk storage used by the wallet through a process called transaction pruning. This will enable all transactions not relevant to the user’s particular wallet to be removed from the local data set. However user’s that are interested in helping secure the network through the running of a full node will still be rewarded all the transaction fees in the mined blocks.

Coin Economics & The Competition

Monero is currently sitting at a $914 million marketcap at rank 13th on Coinmarketcap (Figures are as of writing for all projects henceforth). PIVX sits at $53 million marketcap at rank 89th. Zcoin is at $51.8 million marketcap at rank 92nd.

Keep in mind that PIVX’s source code is like the most cloned Github project atm in new projects and Veil has some of PIVX’s core devs.

Veil is sitting at just a mere $2.4 million marketcap at rank 664 approximated and just got added to Coinmarketcap.

The Veil Block Reward Emission Schedule

Imagine if you took the innovative tech from these three top 100 privacy projects, and made a baby that has better tech than any of those 3 standing alone. The POW has been designed to be completely fair due to the ASIC-resistant algorithm making it GPU minable primary, it also launched with a fair launch announced in advance. The POS incentivizes the use of the Zerocoin protocol technology, which is unique to Veil. I think Veil has a high likelihood of carving its way to the top 100 to join its ancestors.

Veil Labs is dedicated to push the technical boundaries of privacy and anonymity without any compromise to performance or scalability.

March was an incredibly active month for Veil in terms of developments that are likely to start bringing significant exposure to the project, and it looks like there are no signs of a slowdown coming for developments in April & May.

Major Recent & Upcoming Highlights

  • Veil has been listed on 7 exchanges in the last 30 days alone and multiple new listings are coming in April.
  • A community bounty program just launched on March 27th which will encourage participants to spread the word of Veil far and wide within the cryptocurrency communities.
  • An Intro Teaser Video was released to Veil’s Youtube Channel on March 31st.
  • A developer’s bounty program just launched on April 1st.
  • Will list on Tokex on its upcoming April launch. Tokex is an anticipated South Korean exchange that will bring Veil to the South Korean crypto population.
  • Veil is to undergo a comprehensive & professional security audit by Least Authority in May.

The highest volume exchanges to trade Veil are currently Stex and Vinex.


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**Disclaimer**

I am not a financial advisor, Cryptocurrencies are an emerging asset class that carries high-degree of investment risk. Please make sure to do your own research before making any investment decisions.

I have personally invested in Veil and been mining the project since its’ inception.

VEIL-Project

VEIL is a privacy-centric cryptocurrency that seeks to advance cryptographic technology. Our mission is to create a highly efficient and effective cryptocurrency that comprises the greatest degree of anonymity available without sacrificing security or accessibility.

Cryptounicorn

Written by

I’m a crypto-enthusiast that’s deeply immersed in the space. I write about exciting new tech coming from the Cryptocurrency space. Writer for Altcoin Magazine.

VEIL-Project

VEIL is a privacy-centric cryptocurrency that seeks to advance cryptographic technology. Our mission is to create a highly efficient and effective cryptocurrency that comprises the greatest degree of anonymity available without sacrificing security or accessibility.

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