DeepOnion was developed as a way to harness the power of TOR in the "crypto" world.
Crypto systems have been mistaken in recent times. Rather than being "currencies" in their own right (they're not), they are actually payment networks - allowing users to "send"/"receive" transactions from other people. Imagine them like decentralized "Visa" or "Mastercard" systems - allowing for the transaction of money from one bank account to another, but not "storing" the money in any central location.
Courtesy: DeepOnion Community
Ultimately, "Bitcoin" is a ledger of financial transactions. It does not store value, and was never designed to. To this end, a number of people have highlighted several flaws with the system - specifically with the likes of the way in which your details are continually applied to any transaction you make. A "Bitcoin Address" and other aspects of the system are able to provide users with the ability to identify various signs that someone has performed a transaction, meaning that if you want to ensure that no further issues occur you will need to obscure any of the details that may be present. To this end, several projects have been designed to fix the problem, most specifically "Monero" and "DeepOnion".
DeepOnion was created in 2017 to harness the power of the TOR network to ensure that "crypto" transactions can be obscured. The system works on a number of levels to provide anonymity to transactions. Most obviously, it uses the "TOR" network to settle transactions (inasmuch as how Bitcoin uses its own network). To add to this, the system has several mechanisms (features) which allow it to change the way in which transactions are handled.
For example, the "DeepVault" system gives users the ability to store documents on the "DeepOnion" blockchain, having them ratified by way of a "hashing" mechanism. This promises to ensure the security and integrity of the document (preventing future changes).
On top of this, the "DeepSend" system was developed to provide a "mixer" system - which essentially allows user's transactions to have their IP addresses obscured. This is unique, but is somewhat of a menial upgrade to the overall "crypto" landscape.
Why It's Important
The importance of all this comes down to the simple fact that if you want to perform anonymous transactions on the "DeepOnion" system, you'll be able to do so by transferring your current "crypto" holdings into "Onions" and using them to facilitate transactions.
The problem for most people is they will be unable to determine whether this is a valid way to progress or not. They will simply think that they need to ensure they are able to use the "Bitcoin" network to send currency to others, and as such, it is important to remember that if you want to get more out of the system, you may be better exploring other systems.
Without TOR integration, most of the hype about DeepOnion would be unfounded.
Therefore, if you're looking to "invest" into the system, you need to be sure about what you're actually buying.
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