GlossaryIntermediate
Pseudonymity
Being identified by an address rather than a real-world identity, though not fully anonymous.
Pseudonymity means participants on a public blockchain are identified by an address, rather than a real-world name, but their transaction activity is still publicly visible and permanently recorded.
This is different from true anonymity: if an address is ever linked back to a real identity, that person's entire visible transaction history on that address can potentially be traced.
Examples
- Bitcoin transactions are pseudonymous, tied to addresses rather than names, but publicly viewable.
- Linking a pseudonymous address to a real identity, even once, can expose its full transaction history.