For those of you using Proton services to protect your privacy, a new feature is being rolled out which is a self-custody Bitcoin wallet. If you have a proton e-mail address, you can now send and receive Bitcoin automatically. This is in tradition with their long-standing policy of accepting Bitcoin payments for their services.
A few key points to know:
- You and only you have access to the Bitcoin, it is a self-custody wallet. You are not dependent on proton’s cooperation to access your funds and they do not hold onto the funds for you.
- Proton automatically translates e-mail addresses to Bitcoin addresses. This means you can send/receive BTC to/from any Proton user by just knowing their e-mail address
- Proton does not support Bitcoin lightning. This means transactions will take an average of 10 minutes for an average fee of 75c. Hopefully they will add lightning in the future so that can drop to under a second for pennies in fees. Lightning would also enhance privacy
- Note that using Bitcoin is pseudonymous. Using it privately and anonymously requires some effort.
- Proton has also put together a good primer on Bitcoin here.
from their blog post:
Early in our journey, we experienced first-hand what it’s like being cut off from the financial system and at the mercy of large banks and institutions — an ordeal that affects millions of people across the globe. In the summer of 2014, as the original Proton Mail crowdfunding campaign was in progress, Proton had a near-death experience when PayPal froze our funds, questioned whether encryption was legal, and whether Proton had government approval to encrypt emails.
Fortunately, in that instance PayPal returned the blocked funds, and Proton was able to start the journey that we’ve been on for the past decade. However, that dangerous moment has always stayed in our minds, and we still keep a proportion of Proton’s financial reserves in Bitcoin.
Having experienced firsthand the unreliability of the traditional financial sector, building Proton Wallet is an important strategic move to make Proton more resilient and independent in the future. By enabling us and the entire Proton community to more easily adopt means of payment that deliver on the promise of financial freedom for all, we better insulate Proton from the risks posed by traditional finance.
I mean I use both, but most of my bitcoin transactions are either buying monero or buying services where privacy doesn’t matter (eg buying an international airline ticket that already requires my passport data and other PII) and where they don’t accept anything other than btc.
There’s still good use cases for it (bitcoin is still more secure than fiat), but obviously a self-described privacy service should roll-out monero support before bitcoin support.
And their UI should have lots of warnings informing the user about the privacy risks of using bitcoin. Whereas this announcement doesn’t even have one warning?!?