Use Tornado Cash with
Reviews for Tornado Cash
The issue with Tornado Cash right now is the low [anonymity] set. At the lowest denomination, it has only ~1400 nodes, down to 50 for high values. A thousand or so accounts is probably identifiable with some work–and a bad actor could easily flood it with fake notes so it seems higher.
Suppose a bad actor generates 20k tornado cash notes of 1 ether. Now the anonymity set looks large, but in reality it's 99% compromised and the actor only needs to track about 250 accounts to try to id them.
(Ironically, if there are competing big trackers, it becomes safer!)Full review
I support tornado.cash [because] we should all have multiple addresses and outside of where we want to identify ourselves we should strive for at least one address per application we interact with.Full review
The amount you can safely mix [on Tornado] will increase with usage but there will always be a cap. And honestly that's probably a good thing; wealthier actors (both individuals and large orgs) having more difficulty evading financial scrutiny than smaller actors seems optimal.Full review
Tornado is a smart contract running on Ethereum.
When I say smart, I mean really wicked-smart; it uses “Zero-Knowledge Succinct Non-Interactive Argument of Knowledge” cryptography (ZkSNARK) so the ether (or tokens) deposited into the contract can’t be linked to those that are withdrawn.
But… I won’t be surprised if there is a paper at the Financial Cryptography 2023 conference showing that 85% of tornado usage was not private; not because the cryptography is broken, but because it is really hard for mere mortals to use something like tornado (or CoinJoin or other similar technologies) in a way that doesn’t leak information about their wallet. The tornado developers wrote an article with tips to help maintain privacy, but I think 62% of their users won’t read it and another 25% will read it and then immediately do something the article says you shouldn’t do.
I think the mistake most people will make is to think that they can run a bunch of ETH through tornado into a new wallet and end up with “a private wallet.” So imagine you start with 117 ETH you bought on an exchange and moved to a wallet that you control. On the ethereum blockchain that is a balance of 117 ETH in some address– lets call it 0xabc.Full review