Both the United Nations (UN) Declaration of Human Rights and the International Covenant on Civil and Political Rights recognize ‘privacy’ as a fundamental human right. In the cryptocurrency market, some projects are focused on providing the best privacy experience for its holders and users.
Interestingly, privacy is often considered a tabu when talking about money, despite being a well-accepted fundamental human right for other topics. The growing development of high-surveillance financial tools often creates controversy and conflict of interest against privacy cryptocurrencies.
Nevertheless, as a fundamental human right, investors can turn to privacy-focused coins in order to hedge against the increased surveillance state, often used by authoritarian regimes that explicitly violate recognized human rights.
With that in mind, Finbold asked ChatGPT to pick three privacy cryptocurrencies:
“Pick 3 privacy-focused cryptocurrencies to be bought and used without revealing sensitive information.”
— Prompt used by Finbold
For this experiment, we used a GPT-4 API bot that has a ‘pay-per-prompt’ model using crypto to generate artificial intelligence (AI) insights.
Notably, this model allows users to keep their privacy while engaging with the AI service by not requiring credit card payments used in the subscription version by OpenAI. It is also possible to use the following privacy cryptocurrencies to pay for the bot’s services through the ‘/swap’ command.
GPT-4 recommends these 3 privacy-focused cryptocurrencies
The AI responded with its top 3 picks being Monero (XMR), ZCash (ZEC), and Dash (DASH). However, it is important to note that Dash is not a protocol with native privacy, like ChatGPT’s first two picks. DASH has a built-in system similar to CoinJoin, used by UTXO-based cryptocurrencies to difficult third parties tracking their transactions.
“Renowned for its unparalleled privacy features, Monero uses ring signatures, ring confidential transactions, and stealth addresses to anonymize all transaction details. By concealing the identities of the sender and receiver, as well as the transaction amount, Monero makes financial data tracking nearly impossible, ensuring complete discretion for the users.”
Monero is the leading privacy cryptocurrency by market capitalization, hiding all activities from third-party surveillance. XMR is now trading at $161.46 by press time, in a yearly consolidation range going as low as $118.5 in November 2022 and as high as $186.18 per coin in January 2023.
“Standing out with its unique privacy feature called Zero-Knowledge Proofs or zk-SNARKs, Zcash allows users to verify transactions without revealing any sensitive information. Its selective transparency gives users the freedom to choose between shielded (private) and transparent (public) transactions, balancing accountability and privacy in a unique way.”
Meanwhile, ZCash ranks in the 152nd position by market cap. Its protocol offers a more flexible experience to users that can defend their fundamental human rights of privacy at will by choosing what monetary information they want to conceive or not.
ZEC is trading in a yearly downtrend at $27.98 by press time. Having lost close to 48% of its value year-over-year (YoY).
“Dash’s innovative PrivateSend feature adds another layer to transaction privacy. It mixes multiple transactions before processing them, making it extremely difficult to trace the origin of funds. Additionally, Dash’s InstantSend feature enables swift transactions, making Dash a perfect combination of quick, private digital cash.”
DASH is now trading in a yearly support zone, close to its lowest price YoY. At the time of publication, Dash is changing hands by $28.29 per coin, sitting in the 116th position by market cap.
Recently, many countries have strategically worked to difficult access to privacy cryptocurrencies. This has even forced crypto exchanges to delist some of the above-mentioned digital assets.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.