Crypto mixers are a service that mixes different streams of identifiable cryptocurrencies. The service improves the anonymity of transactions. It makes it difficult for Bitcoin to be traced back to its source. The mixing service charges a fee of between 1% and 5% of the total amount mixed. Users are free to choose the transaction amount. Mixing services such as Coinomize have been launched with the primary goal to create a layer of protection between the user’s identity and their Bitcoin.
Cryptocurrency promises privacy and accuracy of transactions. One of the popular cryptocurrency is Bitcoin with blockchain technology. Blockchain technology is a system that records information disabling any form of hack, change, or attempt to cheat the system. However, it does not guarantee privacy. There are blockchain analysis tools and investigators that can trace back the Bitcoin source through its transaction trail.
Most people use the tumblers bitcoin to protect their privacy. The tumbling service disconnects the link between the Bitcoin wallet address. A third-party user such as Coinomize is the source where the user can send the coins or cryptocurrency tokens. The software then collects the coins from different users, swaps the coins, and finally returns the coins in the same amount. The swapping or mixing breaks the connection or transaction trail between the coin and the original wallet address. Each user will receive a new coin with a different trail.
Most people might assume that maintaining anonymity is a matter of concern for criminals. However, privacy is important for every user. Third-parties or advertising firms study the buying behavior of the people for advertising purposes. Everyone who makes a Bitcoin transaction without the Bitcoin tumbler risks their privacy. The advertising firms will see how many purchases were made, what products, and how much they own. It becomes an alarming matter of concern when the third-parties involve criminals who can cause a greater threat to the user and his/her details.
Cryptocurrency guarantees privacy and accuracy. But, there are loopholes in which Bitcoin analysis tools and researchers can track the Bitcoin transaction to its original user or Bitcoin wallet address. Tumbling of all Bitcoin services like Coinomize have been established to make a layer of protection between the consumer’s identity and their Bitcoin. Tumbling of all Bitcoin, especially Coinomize was designed for mobile platforms. It’s created for the Android operating system and is soon to launch to the iOS feature.