What Are Ring Signatures?

Ring signatures are one of the earliest cryptographic creations ever to be made, and they remain effective to date. A ring signature typically involves a group of users who all own keys. When using a ring signature, it’ll appear as though a group of users have merged together (forming a ring) and are executing a transaction as a group. However, no one will know the true signer out of the transaction.

To ensure the privacy of its users when sending XMR, Monero uses ring signatures to make it appear as though several outputs have been used to transfer funds to an individual, even though only one of the outputs has actually been used. Keys are, therefore, used to sign any Monero transactions made. This way, outside receivers, and observers cannot tell what output has been used to complete the transaction. Additionally, the ring signature used can also not be revoked, which helps to ensure that the anonymity of the Monero user is protected both in the short and long term.

Ring signature technology has helped Monero establish itself as one of the most private digital currencies. Additionally, it has made it very attractive to advocates of privacy in the crypto space who believe that privacy is a fundamental right, and not just for people who are believed to have something to hide. And given that the IRS hasn’t been able to crack its privacy has given Monero more success as the market's leading privacy coin.

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TLDR: A ring signature is a privacy-enhancing, cryptographic digital signature used to protect any information on signatures made by Monero users when they want to make any transaction.