Government officials are cracking down on coin mixing solutions. While this crackdown is going on, new solutions to anonymously swap cryptocurrencies will come to market regardless.
It would appear that governments do not like the concept of users exchanging digital assets.
Incognito has Tremendous Potential
This is especially true if that can be done in a private or anonymous manner.
The ongoing crackdown on coin mixers is part of this ongoing crusade.
It would appear logical to assume that the next crackdown will focus on decentralized coin swapping services.
How the launch of Incognito will affect that approach, remains to be determined.
This new service makes it very straightforward to convert between Bitcoin and privacy coins.
One possible option is to obtain Monero completely anonymous.
All transfers are conducted on a separate blockchain, which is virtually impossible to analyze or observe.
As such, the team dubs this solution “pDEX”, or privacy-centralized decentralized exchange.
Letting users buy and sell privacy coins without a trace is a very interesting development.
It is also something that may attract a lot of unwanted attention from governments.
Users are not required to submit any personal information.
Removing the need for KYC and AML requirements makes sense for the Incognito team.
Nor does the exchange keep any records of transactions.