Connecting your wallet to Tor improves privacy by anonymizing the IP address associated with your local device. Data is routed through multiple randomized hops before reaching its destination when connected to Tor. This means the recipient of the data doesn't know which IP address sent the data. Additionally, the routing nodes don't know the final destination. This is known as onion routing.
Note: Tor is useful for masking your real IP address, but it's important to remember that it's only one piece of the overall Bitcoin privacy puzzle. Adversaries may still be able to use other information, such as blockchain analysis, to track your wallet activity.
Connecting to Tor
1. Begin by tapping the wallet icon in the top-right corner of the app.
2. On the next screen, which lists your digital wallets, tap the icon with three dots found in the top-right corner to bring up the app settings.
3. Finally, activate Tor by toggling the button next to the "Connect with Tor" option, and then tap "Save" in the bottom-right corner.
Note: While Tor enhances privacy, the anonymizing properties of the network will also lead to a slower and less stable connection when compared to traditional internet use.