Interestingly I first assumed that SDT (Shadow token) to SDC conversions reduced the available anon I/O in the system (since SDC > SDT increases it)
In actual fact converting Shadow tokens (SDT) back to SDC increases the anon IO yet further
could u explain how that works smooth?
In actual fact converting Shadow tokens (SDT) back to SDC increases the anon IO yet further
could u explain how that works smooth?
It's false. Nether increases anonymity in the system, because they provide visible tracing points on the transparent chain. You are perhaps suggesting that SDT->SDC increases anonymity because there is another step of mixing and stealth, but this is mistaken, because the alternative is not nothing, it is spending those SDT by sending them to someone else. which gives the same mix+stealth, but minus the tracepoint.
Your best case for anonymity is really to just use SDT exclusively. Long chains of mixed transactions with stealth addresses at every hop = anonymous.
If you use SDC for the purpose of interoperating with BTC-based APIs, fair enough that may be a worthwhile tradeoff, but it doesn't improve anonymity at all, it decreases it.
I will pass this up the chain. In the meantime this may illuminate
(dasource is a Team member)
All I can tell u is what I gather
Oh and the explorer
http://shadow.blockexplorer.cc/chain/ShadowCash
Just for sake of clarity 
Yes every-time you send coins (shadow or SDC) to a stealth address it will generate a new SDC Address
Every SDC Address has a new private key, however because this SDC Address was generated by sending coins to a "stealth address" aslong as you have a backup of your wallet when you created the stealth address you do not need to back it up again. All future SDC addresses created by sending money to that "stealth address" are covered. This is a bit like a HD wallet but not quite ...
Obviously you can never be too careful so backup as necessary.
Yes but as per above, if the funds where sent to a "stealth address" then it does not matter as you can re-create those SDC Addresses and corresponding private keys from your stealth address backup.
OK, so every time I convert Shadow to SDC I create a new SDC address.
Yes every-time you send coins (shadow or SDC) to a stealth address it will generate a new SDC Address
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Is this a new private key?
Every SDC Address has a new private key, however because this SDC Address was generated by sending coins to a "stealth address" aslong as you have a backup of your wallet when you created the stealth address you do not need to back it up again. All future SDC addresses created by sending money to that "stealth address" are covered. This is a bit like a HD wallet but not quite ...
Obviously you can never be too careful so backup as necessary.
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It seems like over time I will have hundreds of keys and stealth/public addresses in the wallet.
Yes but as per above, if the funds where sent to a "stealth address" then it does not matter as you can re-create those SDC Addresses and corresponding private keys from your stealth address backup.