CoinJoin Mixing

Definition ∞ CoinJoin mixing is a privacy-enhancing technique used in Bitcoin transactions to obscure the connection between sender and receiver. It combines multiple users’ transaction inputs into a single, large transaction. This process makes it difficult for external observers to determine which output belongs to which input. The method aims to break deterministic links on the blockchain, improving transactional anonymity.
Context ∞ CoinJoin mixing is a notable privacy feature within the Bitcoin ecosystem, often discussed in relation to financial surveillance and regulatory efforts. While proponents laud its ability to enhance user privacy, critics and authorities sometimes associate its usage with illicit activities, such as money laundering. News often covers debates surrounding the legality and ethical implications of such mixing services, as regulators seek greater transparency in digital asset movements.