Stealth Addresses: The Private Crypto Transaction Solution Explained
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Stealth addresses enable privacy for crypto transactions by creating unique, one-time addresses that conceal the recipient's identity and transaction history.
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Stealth addresses work by the recipient generating a stealth address pair - one public and one private. The sender uses the public key to create a new address to send funds to.
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Only the intended recipient can use their private key and extra data posted to the blockchain to identify and access funds sent to a stealth address.
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Advantages of stealth addresses include enhanced user anonymity and privacy as well as reduced address reuse compared to regular wallet addresses.
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Disadvantages include complexity of implementation potentially causing errors, slower processing times, and limited adoption across cryptocurrencies.