Understanding Anonymity Set

The anonymity set is a crucial concept for understanding privacy guarantees in Zaunchpad’s shielded pools. This guide explains what it is, how it works, and how to interpret it.

What is an Anonymity Set?

The anonymity set is the group of all possible participants who could have made a particular transaction. It represents the “crowd” you’re hiding in.

Simple Analogy

Imagine you’re in a crowd of 100 people, and someone wants to identify you. If they can only see the crowd but not individuals, you have an anonymity set of 100. The larger the crowd, the harder it is to identify you.

How Anonymity Sets Work

In Shielded Pools

When you participate in a token launch through a shielded pool:

Your Transaction Enters Pool: Your transaction is mixed with others
Anonymity Set Forms: All participants become part of the set
Privacy Level Determined: Set size determines your privacy level
Identification Difficulty: Larger sets = harder to identify you

Mathematical Representation


Privacy Level = 1 / Anonymity Set Size

Anonymity Set of 10:   Privacy = 1/10  = 10% chance of identification
Anonymity Set of 100:  Privacy = 1/100 = 1% chance of identification
Anonymity Set of 1000: Privacy = 1/1000 = 0.1% chance of identification

Anonymity Set Sizes

Very Small (1-5)

Privacy Level: Very Low
Risk: High chance of identification
Use Case: Not recommended for privacy
Recommendation: Wait for more participants

Small (6-20)

Privacy Level: Low
Risk: Moderate chance of identification
Use Case: Basic privacy needs
Recommendation: Acceptable for low-value transactions

Medium (21-100)

Privacy Level: Moderate
Risk: Low chance of identification
Use Case: Standard privacy needs
Recommendation: Good for most use cases

Large (101-1000)

Privacy Level: High
Risk: Very low chance of identification
Use Case: High privacy requirements
Recommendation: Excellent for sensitive transactions

Very Large (1000+)

Privacy Level: Very High
Risk: Extremely low chance of identification
Use Case: Maximum privacy needs
Recommendation: Ideal for maximum privacy

Factors Affecting Anonymity Set

Pool Participation

More Participants: Larger anonymity set
Fewer Participants: Smaller anonymity set
Timing: Early participants have smaller sets
Growth Rate: Faster growth = better privacy faster

Transaction Patterns

Unique Amounts: If your amount is unique, set effectively smaller
Common Amounts: Standard amounts blend better
Timing: Transactions close together may be linked
Frequency: More frequent participation = better blending

Pool Design

Mixing Algorithms: Better mixing = better privacy
Pool Size Limits: Some pools have maximum participants
Time Windows: Pools may have time-based windows
Shielded Pool Type: Unified pool provides better privacy

How to Check Anonymity Set

On Zaunchpad

Navigate to token page
Look for “Anonymity Set” metric
Check current size and trend
Review privacy level indicator

Understanding the Display

Current Size: Number of participants right now
Historical Size: Average size over time
Privacy Level: Visual indicator (Low/Medium/High)
Trend: Whether set is growing or shrinking

Privacy Guarantees

What Anonymity Set Guarantees

✅ Statistical Privacy: Harder to identify you statistically ✅ Plausible Deniability: You can plausibly deny participation ✅ Crowd Blending: You blend into the crowd ✅ Reduced Linkability: Harder to link transactions ✅ Mathematical Guarantee: Privacy is cryptographically proven

What Anonymity Set Doesn’t Guarantee

❌ Perfect Privacy: Not 100% guaranteed (but very close with large sets) ❌ Against Advanced Attacks: Sophisticated analysis may still work (very difficult) ❌ Off-Chain Privacy: Doesn’t protect off-chain information ❌ Future Privacy: Privacy may degrade over time (minimal with large sets)

Best Practices

Maximizing Privacy

Wait for Larger Sets: Don’t be the first participant
Use Standard Amounts: Avoid unique transaction amounts
Time Your Participation: Participate when pool is active
Check Set Size: Verify anonymity set before participating
Monitor Trends: Watch if set is growing or shrinking

When to Participate

✅ Good: Anonymity set > 50
✅ Better: Anonymity set > 100
✅ Best: Anonymity set > 500
⚠️ Caution: Anonymity set < 20
❌ Avoid: Anonymity set < 10

Real-World Examples

Example 1: Small Set


Anonymity Set: 5 participants
Your Privacy: 20% chance of identification
Risk Level: High
Recommendation: Wait for more participants

Example 2: Medium Set


Anonymity Set: 50 participants
Your Privacy: 2% chance of identification
Risk Level: Low
Recommendation: Acceptable for most uses

Example 3: Large Set


Anonymity Set: 500 participants
Your Privacy: 0.2% chance of identification
Risk Level: Very Low
Recommendation: Excellent privacy

Limitations

Statistical Limitations

Not Perfect: Even large sets don’t guarantee 100% privacy (but very close)
Advanced Analysis: Sophisticated techniques may reduce effective set size (very difficult)
Temporal Analysis: Time-based analysis can narrow the set (minimal impact)