CloakCoin

Private Anonymous Cryptocurrency

Since the in-house payment system ENIGMA is Open-Source and the Audit-Report has been published, CloakCoin attracts more and more attention. This article aims to bring CloakCoin closer to you and to give you an overview on, why it is totally undervalued.

What is CloakCoin?

CloakCoin is a decentralized and anonymous cryptocurrency, first created in mid-2014. CloakCoin uses a pure Proof-of-Stake (PoS) consensus, that offers an interest of 6 % p.a. on staked coins. Additionally, users are able to support the ENIGMA-Transactions and earn therefore the 1,8 % fee.

Learn more on how to make a Passive Income with CloakCoin here.

Specification overview

Advantages of CloakCoin

1. Fast Transactions

The time for a transaction is only 60 seconds. That’s how CloakCoin makes it possible not to wait anymore for slow blocktimes or network transactions to take place. It is indeed a chance to experience almost instant transactions.

2. Untraceable

Cloak has onion-routing privacy set by default, or switch on state of the art ENIGMA for the ultimate in cloaking.

3. Privacy

CloakShield uses end-to-end encryption, which not only secures communication, but also allows nodes to circumvent traffic analysis. Integrated with ENIGMA , it is above and beyond, the best privacy assurer. Through the utilization of up to 25 hops, using symmetric RSA encryption backed by an ECDH key exchange.

4. Usability

With Cloak’s user friendly side, it will permit anyone with a computer or smartphone to safely be part of today’s digital currency markets, with downscaled worry of any hacking or spying. In fact nowadays, Cloak offers various qualities,including an advanced, private, secure, decentralized and untraceable digital currency transactions.

5. Freedom

It is without a slight of doubt crucial to understand, that Cloak is not, and will never be, supporting illegal markets, activities or elements acting out of law. In fact, the main goal of Cloak is to help secure the financial freedom of its owners, and that is through a simple, practical, economical and virtually spontaneous manner.

6. Rewarding

With Cloak, everybody is a winner. For simply staking your coins in your wallet, 6% annual interest is rewarded. CloakCoin is a pure proof-of-stake (PoS) cryptocurrency that offers an interest of 6% p.a. on staked coins. Should they wish, users are also eligible to a share in the network’s 1.8% fee for their support towards ENIGMA transactions. It’s in fact, not only more energy efficient than mining, but also easy to earn more Cloak by simply placing coins in your wallet.

7. Community-focused

The Cloak-Team thrives among its community and it needs the community as much as the community needs the Cloak-Team. It’s all based on active participation and constant volunteers to help make the projects happen.

8. Limited circulation

Cloak is designed both to be rare and to be a limited supply, which offers tremendous potential to currency holders. Increasing circulating supply is minimal, raised by a theoretical maximum of 6% p.a. in line with rewards. Typically, this is a much lower % in reality, so the coin does not suffer from over-inflation and remains a scarce commodity.

9. Open-Source + Audit

Open-Source assures, not only complete transparency, but also the ability to peer review the software, which makes it truly important to Cloak. It is needless to say, that the software is continually reviewed for bugs, tracking, malware or any other unwanted software.

The Security Audit Report shows CloakCoin is a trustworthy project with total transparency towards its users. This has now officially been confirmed by Cognosec a NASDAQ-listed cyber-security company. The result was released on the 22/01/2018. You can find the “Security Audit Report” here. The announcement from the Cloak-Team can be found here. This is a milestone and shows, that CloakCoin provides true anonymity and can be 100 % trusted by its users.

So what exactly is the Open-Source and the Security Audit Report about. In the following I want to explain the Enigma-Transaction and the Cloakshield.

Enigma-Transactions

CloakCoin wallets connect to each other and Cloakshield enables them to establish a private onion routing network like TOR and on this private network the wallets find participants to create and send ENIGMA transactions. ENIGMA produces transactions that are ‘cloaked’ by other wallets. This means that as well as ENIGMA senders adding their funds to the ENIGMA transaction, Cloakers also provide matching amounts, which they receive back alongside a reward for helping to Cloak the send. This means that anyone examining the transaction cannot determine who is sending and who is receiving funds.

CloakShield

CloakShield offers a secure and private CloakCoin-Network for the exchange of encrypted messages between all Enigma nodes. It uses ECDH/RSA encryption to protect all communication required by Enigma.

Roadmap

For a cryptocurrency it’s not just important what has been established already, it’s also important to know, what are the ideas and plans for the future. The Roadmap shows, that a lot of points have been accomplished already. Still there will be new features added, that makes CloakCoin even more userfriendly, secure and accessible to everyone.