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Privacy coin sector has recently exploded in popularity, with Monero (XMR) breaking through the key psychological level of $700 and currently holding steady at around $712, showing no signs of a pullback in its upward momentum.
The driving force behind this is quite straightforward—the global crypto tax framework CARF has been enforced in multiple countries this month. Essentially, this framework extends the traditional financial CRS regulatory system into the crypto world, requiring exchanges and service providers to report user transaction data, making crypto transactions impossible to hide anymore.
As a result, the demand for asset privacy protection among high-net-worth individuals has surged dramatically. This also explains why the privacy coin sector is no longer just a niche speculative game—it now has tangible, real-world demand backing it.
The reason XMR has become the main player in this wave of market activity is its genuine achievement of transaction anonymity at the technical level. Solutions like ring signatures and stealth addresses make on-chain transactions incomprehensible to outsiders, providing a digital safe haven for high-net-worth individuals seeking to evade tax regulations. From this perspective, the privacy sector has officially evolved from a purely speculative asset class into a value-driven sector with practical application scenarios.