Thread by @CCosmonaut_

1) @SecretNetwork has such an interesting value proposition when you start thinking about all the ways that no privacy can be a challenge. Just some quick takes. #cosmos #stargaze #secret

2) Public facing services like Venmo/PayPal would be great on chain but if I send you $100 you should not see my entire history that is not your business. This is a perfect example where even various stablecoin banking/payments and interest accounts would be huge.

3) Front running can be a real issue. For example if I see someone buy 5 #NFTs back to back and go to their account and see they recently loaded up on crypto they may be highly interested to buy more. I then buy up some of the floor and raise it 10-40%…

4) This is a type of front running that is pretty realistic to pull off especially if you are indifferent about holding the asset. For example for the NFT if I like the project I either get a 10-20% gain by front running them or get to keep the NFTs in a project I like.

5) So either way to an extent I win. But the individual who simply liked the project and had intentions to buy those lost out. They either now do not get them or I forced them to pay a premium.

6) This isn’t very unrealistic today I found a couple people clearly trying to buy the floors of a project and if I wanted to I could have bought the floor knowing that it was going up or I could have made a premium.

7) Both of these use cases could get worse as well. If someone associated the activity with your person they can start performing social engineering attacks or try to physically rob someone…

8) Crypto is very different then traditional banking. If someone is robbed and forced to send crypto out that is it. It is an unreversible rail (unlike things such ACH, and cards). It also cannot be intervened by a bank or any type of insurance really against this.

9) These are only very basic functions. This doesn’t count so many other use cases like watching who is trying to provide liquidity, trying to do on chain attacks against collateralized loans, front running a thinly traded asset and so on.

10) How privacy is addressed while sill creating trust and transparency is a huge hurdle that will be interesting to watch play out in crypto and one of the exciting solutions that can play into these use cases could be @SecretNetwork (end rant).