How does Tor work in Bitcoin?
Could you elaborate on the role of Tor in Bitcoin? I'm curious to understand how it enhances the anonymity and security of transactions on the network. Does Tor encrypt the transactions themselves, or does it simply obfuscate the IP addresses of users? What are the main benefits of using Tor with Bitcoin, and are there any drawbacks or risks associated with this practice? Additionally, how prevalent is the use of Tor in the Bitcoin community, and does it require any special setup or configuration? Thank you for clarifying this important aspect of Bitcoin's technology.