This proposal involves adding Pirate Chain to ShapeShift. It is the best privacy coin on the market, and their team has very similar values to ours. Accepting this proposal would benefit both projects.
- As government strives to tax and regulate crypto, it becomes necessary to create crypto that have the highest resistance to interference from outside forces and protect users information from prying eyes. One of the problems with blockchain is that because it is a public database, your information is available to everyone in the world. Bitcoin was originally created with privacy in mind, but the rise of Data Science in the last decade makes it possible to identify users by their data patterns.
Because information is power, your spending habits are very dangerous when in the hands of others. Consider what would happen if one business knew how much money their competitors had, and what they spent it on. How could that information be used to gain an unfair advantage over others? As someone with training in Data Science, I know some of the horror stories such as the following:
Target learned who is pregnant using only store purchases and was able to learn about some pregnancies even before family members did.
- Researches learned Facebook users age, gender, sexuality, religion, and political affiliation with around 80% accuracy using only Facebook Likes. This is nothing compared to what Facebook itself can do.
- Google has successfully altered elections by manipulating search results to take advantage of users cognitive biases in order to change their vote.
In order to prevent these kinds of abuses from happening in crypto, privacy coins were created. They use various cryptographic techniques to guarantee that other people cannot know how much crypto you have, or how you are spending it. Pirate Chain offers the strongest privacy because it uses, among other things, zero knowledge proofs. It allows miners to validate transactions without knowing how much is being transferred, or who the transaction involves. More information can be found here:
General Info: Zero-knowledge proof - Wikipedia
Use in Crypto: What are zk-SNARKs? | Zcash
Pirate Chain Website: pirate.black/
Right now Shapeshift does not support any privacy coins. Therefore, adding one would incentivize an entirely new market to start using the Shapeshift platform. I believe that the best privacy coin to add first is the one with the strongest guarantee of privacy, and right now that is Pirate Chain. In the future, it may also be beneficial to make a different proposal to add Monero. Its privacy isn’t as good as Pirate Chain, but it does have the highest market cap among privacy coins.
I’m not familiar with the specifics on what it takes to add a cryptocurrency to the ShapeShift platform. I’d appreciate some insights from ShapeShift developers on the expected cost and time requirements. I think a meeting between ShapeShift devs and Pirate Chain devs would be a great place to start, and I’d be happy to help make it happen.
Benefits - Privacy advocates will have their needs met on the ShapeShift platform, which would raise the value of FOX, and increase our userbase.
Drawbacks - Adding a blockchain to ShapeShift takes time and resources that could be used elsewhere.
For: Funding is given to the Engineering Workstream to pay for adding Pirate Chain to ShapeShift.
Against: Nothing happens.
thanks for starting this discussion , I agree it would be awesome to see more privacy chains on ShapeShift.
I do know that supporting privacy chains is generally more of an engineering lift than public chains, but don’t know nearly enough to give an accurate estimate. The good news is that the new open source architecture that the engineering team is working on will make it possible for anyone to add a new blockchain to ShapeShift.
Once the first version of the open source architecture is released, I think it’d be great to set up an intro call between some fox devs and some pirates to get a better idea of the engineering lift. Thanks for offering to make that happen.
Something that would make a PirateChain integration really compelling would be if it were supported on a crosschain DEX like THORChain or Osmosis. Do you know if anything like this is planned yet?
That’s a good point. In that case I think it is best to put this proposal on hold until the open source architecture is released, is there an ETA on that?
Pirate Chain’s weekly meeting is today. I’ll ask the devs if they have any plans for crosschain DEXes.
Awesome, looking forward to hearing what you find out about cross-chain DEX plans!
are you comfortable sharing anything yet re: open source ETA?
The main dex they are working with is AtomicDEX. They also mentioned BT Dex and Polarity. I’m currently investigating the extent of their support for Pirate Chain.
Thanks for bringing to light an area missing in the shapeshift offering infrastructure. While I think it’s a great idea generally to have the ability to all the sorts of chains available, have you been able to work with anyone on the engineering team to get an estimated cost as to how much it would cost to integrate this chain?
Additionally, I have no idea how to properly vet a privacy chain or if one is better than another, and how to gauge their future chain technologies. Would anyone with more experience in this realm be able to tell me if we were to integrate a privacy chain into ShapeShift, is this the one we should be integrating? or Should we be looking at the whole pie and picking the one that best allows the DAO to further advance into the future? (I will note, that its entirely possible this is the best one out there hence the call for information)
After some more thought, I have decided to terminate this proposal. I will create a new proposal soon that will make it much easier for any blockchain to be added to ShapeShift.