My understanding is that liberty-coin would use something based on that but improved and also use encrypted address like mastifcoin. So actually 2 layers of anonymity.  So you would generate a encrypted to use for the transaction and then run it through the coin mixer style thing. That's the idea anyway i was told about. I also heard that tor would somehow come ito play but not 100% sure on any of it as I am not working on any of these things.