Bitcoin Clone Verge May not be So Private After All
Originally published on: BTCMANAGER
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January 05, 2018
Recently, an anonymous site exposed lists of IP addresses that were made via the Verge core wallet. In the past, the cryptocurrency has been criticized due to some people, also known as Whales, holding the majority of the coins.
Verge Under Attack
Bitcoin has its limitation to ensure the privacy of transactions whereas the Verge coin (XVG) pledges anonymity to its users. The digital asset achieves this by utilizing both Tor and I2P – anonymity-focused networks.
XVG developers indicate that “Verge uses multiple anonymity networks such as Tor and I2P. The IP addresses of the users are obfuscated and the transactions are completely untraceable.”
The IP addresses provided by the anonymous source are difficult to verify. However, it is best to be careful when making use of the privacy coin. XVG claims to be one of the most privacy-centric coins in the crypto space, but these assertions have grown murky in lieu of recent events.
Some have even claimed that Verge began its journey as a hard fork of Dogecoin, Dogecoin Dark.
The anonymous whistleblowing site clarified: “Obviously not all of the IPs below will be correct. Some might just be relaying a transaction. The point is that a large amount will be correct due to the XVGnetwork being so small. If your IP appears in the list with a TX you didn’t do, it means you relayed it for someone else. Would you want your IP to be connected to other users’ transactions?”
also, so far we have not found any accurate ip/transaction pairs on this website, but we're continuing to entertain it.
— vergecurrency (@vergecurrency) January 1, 2018
However, responding to the allegations Verge tweeted “also, so far we have not found any accurate ip/transaction pairs on this website, but we’re continuing to entertain it.”
The virtual currency came to limelight with John McAfee’s tweet that spiked it to unexpected heights. Since then the token has been under continuous controversy with a massive dip arriving after Twitter user MarQuis Trill (@6billionpeople) told nearly 5 million followers to drop the coin.
— touns (@pasdinspirate) December 25, 2017
John McAfee, the pioneer of antivirus software, pumped Verge in December 2017, resulting in a price surge of 2,600 percent. The price hike came after one of the whales that go by the name XVGWhale spent a weekend with the crypto influencer.
McAfee makes a great breakfast, great host. Spending another night here. (: pic.twitter.com/EM0AbBWCuD
— peter galanko (@XVGWhale) October 15, 2017
The XVG price hike stimulated doubt as those familiar with the space have regularly seen similar pump and dump schemes. Additionally, many have criticised McAfee to have charged millions to recommend XVG.
According to XVGWhale, the software tycoon earned millions from Verge to promote the coin. McAfee later denied all allegations by claiming that his phone was hacked and the supportive XVG tweets weren’t true.
The privacy currency has had a strange start this year and ultimately being left out of many investors 2018 portfolio. The current price of XVG stands at $0.16, down from $0.23 on Christmas Day.