Part 3/8:
Monero utilizes a unique underlying system based on an open-source code known as CryptoNote. This framework incorporates various methods to ensure complete anonymity for users. Here’s how it works:
Stealth Addresses: Each transaction creates randomly generated keys, which prevent others from linking a transaction back to a specific user.
Ring Signatures: Monero innovatively obscures the identity of both the sender and the receiver. Instead of revealing who is involved in a transaction, it provides a group of potential senders, making it impossible for outside observers to discern the actual participants.
These features ensure that while users can send and receive funds, the transactions themselves remain untraceable and thus entirely private.