The excitement surrounding privacy coins has surged in recent weeks following the sequential launches of two of the first Mimblewimble coins, Beam (BEAM) and Grin (GRIN).
This excitement could soon hit new levels after a tweet this week by Litecoin (LTC) founder Charlie Lee revealed the altcoin is now focused on adopting Confidential Transactions for enhanced fungibility.
This isn’t the first time that Lee has expressed interest in bringing privacy functionality to Litecoin. Last August, Lee polled his Twitter followers as to whether Litecoin investors and users would like to see privacy features added, and if so, what their preference would be in underlying technology.
The options that Lee proposed to the community included CTs, ZK-Snarks/ZK-Starks, MimbleWimble and of course, the option to pass on any sort of privacy. Ultimately, the Litecoin community voted to see Confidential Transactions implemented on the Litecoin network, although “Don’t add privacy” finished second.
CTs, which were originally conceived by Bitcoin developer Gregory Maxwell, would work by homomorphically encrypting the inputs and outputs of Litecoin transactions by using a blinding factor, which is a string of numbers that encrypts the identifiable information associated with addresses.
Given Lee’s language, it seems that this is now a primary focus that could very well bring the functionality sometime in 2019. This would ultimately add new utility to Litecoin, helping to separate it from Bitcoin and other major altcoins.