Privacy Best Practices
Having privacy technology is great, but using it effectively requires good practices. This guide helps you maximize your privacy on Namada.
The Privacy Mindset
Privacy is a habit, not a feature:
- Technology provides tools
- You must use them correctly
- Small mistakes compound
- Consistent practice matters
Key Principles
1. Minimize Exposure
Less public activity = more privacy
More Private:
Shield → Stay shielded → Shield longer
Less Private:
Shield → Unshield → Shield → Unshield → ...
2. Break Links
Don't create connections between addresses:
Bad:
Exchange → tnam1 → znam1 → tnam1 (same address!)
Good:
Exchange → tnam1 → znam1 → tnam2 (new address)
3. Blend In
Don't stand out from other users:
Stands out:
Shield 1,234.56789 NAM
Blends in:
Shield 1,000 NAM (common amount)
4. Time Your Actions
Don't rush between shield/unshield:
Obvious:
10:00 - Shield 1000 NAM
10:01 - Unshield 1000 NAM
Private:
Mon - Shield 1000 NAM
Fri - Unshield 500 NAM
Practical Tips
Shielding
| Do | Don't |
|---|---|
| Shield as much as possible | Keep everything transparent |
| Shield early in your journey | Wait until you need privacy |
| Shield from different sources | Always shield from same exchange |
| Use round amounts | Use exact amounts from exchanges |
While Shielded
| Do | Don't |
|---|---|
| Stay shielded long-term | Unshield frequently |
| Generate new payment addresses | Reuse same address publicly |
| Accept payments to unique addresses | Share one address everywhere |
| Wait between operations | Rapid shield/unshield cycles |
Unshielding
| Do | Don't |
|---|---|
| Unshield to fresh addresses | Reuse old transparent addresses |
| Unshield round amounts | Unshield exact amounts you shielded |
| Wait after shielding | Immediately unshield what you shielded |
| Unshield only what you need | Unshield everything |
Amount Selection
Why Amounts Matter
Unique amounts create fingerprints:
Alice shields 1,234.56 NAM (unique)
Later, 1,234.56 NAM is unshielded
Probably Alice!
Common Amount Strategy
Use round numbers:
- 100, 500, 1000, 5000, 10000 NAM
- These are used by many others
- Harder to correlate
Splitting
If you have 1,234 NAM:
Instead of: Shield 1,234 NAM
Try: Shield 1,000 NAM
Shield 200 NAM
Keep 34 NAM transparent (for fees)
Timing Considerations
Avoid Timing Correlation
If you:
- Shield 1000 NAM at 10:00
- Unshield 1000 NAM at 10:05
An observer sees:
- Same amount
- Close timing
- Likely connected
Better Approach
- Wait days or weeks between shield/unshield
- Don't follow predictable patterns
- Mix up your timing
Time Zone Privacy
Your activity timing can reveal your location:
- Active during 9-5 EST? Probably East Coast US
- Consider varying your transaction times
Address Management
Generating Fresh Addresses
For receiving shielded:
# Generate new payment address
namadaw gen-payment-addr --alias payment-1 --key my-wallet
namadaw gen-payment-addr --alias payment-2 --key my-wallet
Address Usage Strategy
| Use Case | Strategy |
|---|---|
| Exchange withdrawal | Fresh transparent each time |
| Receiving payment | Fresh shielded for each sender |
| Public donation | Single published shielded |
| Salary | Fresh shielded per period |
Never Reuse Transparently
Especially don't:
- Use same
tnamfor multiple exchanges - Return unshielded NAM to original address
- Post same address publicly multiple times
Operational Security (OPSEC)
Device Security
- Use secure, updated devices
- Consider dedicated device for crypto
- Use VPN if concerned about IP
- Be careful on public WiFi
Account Security
- Unique email for crypto accounts
- Strong, unique passwords
- Hardware 2FA when possible
- Consider privacy-focused email
Social Security
- Don't reveal holdings publicly
- Be vague about amounts
- Don't flex your wallet
- Assume everything is monitored
Common Mistakes
Mistake 1: The Round Trip
❌ Shield 1000 NAM → Immediately unshield 1000 NAM
✅ Shield 1000 NAM → Wait weeks → Unshield 500 NAM
Mistake 2: The Unique Amount
❌ Shield 7,891.23 NAM (your exact exchange withdrawal)
✅ Round down, shield common amounts
Mistake 3: Address Reuse
❌ Unshield to your original exchange deposit address
✅ Unshield to fresh address, then send to exchange
Mistake 4: Timing Tells
❌ Shield after every exchange withdrawal within minutes
✅ Accumulate, then shield larger amounts less frequently
Mistake 5: Single Source
❌ All shields from one exchange → One unshield to different exchange
✅ Mix sources and destinations
Advanced Practices
Using Multiple Wallets
Consider separating:
- Exchange interaction wallet
- Shielded savings wallet
- Daily spending wallet
- Public identity wallet
Transaction Splitting
Large amount? Split it up:
Instead of: Shield 10,000 NAM once
Try: Shield 2,000 NAM × 5 times over days
Payment Address Rotation
For regular payments:
Month 1: Payment address A
Month 2: Payment address B
Month 3: Payment address C
All go to same shielded pool, but links are harder to establish.
Privacy vs Convenience
There's always a tradeoff:
| More Private | More Convenient |
|---|---|
| Multiple wallets | Single wallet |
| Fresh addresses | Address reuse |
| Manual operations | Auto-scripts |
| Longer waiting | Quick transactions |
Find your balance. Perfect privacy is impractical; good privacy is achievable.
When Privacy Matters Most
Prioritize privacy for:
- 💰 Large amounts
- 🔒 Sensitive transactions
- 👤 Identity-linked activity
- 💼 Business operations
Less critical for:
- Small gas fee operations
- Public donations (intentionally public)
- Test transactions
FAQ
Is perfect privacy possible?
Very difficult. Aim for "good enough" - significantly harder to trace.
Isn't this paranoid?
It's about having options. Privacy is easier to maintain than regain.
What if I mess up?
One mistake isn't fatal. Multiple mistakes compound. Learn and improve.
Should I use a VPN?
For IP privacy, yes. But a VPN alone doesn't make blockchain private.
Summary Checklist
Before transacting, ask:
- Am I using a fresh address?
- Is my amount common/round?
- Have I waited since last operation?
- Is this necessary to do transparently?
- What links am I creating?