Posted on 02/05/2018 12:56:19 PM PST by nickcarraway
Bkmrk.
I never understood how Bitcoin is supposed to be so anonymous. WE all leave a footprint on the internet, so I’ve always heard. So why would a Bitcoin transaction be any different?
Also wouldn’t any other cryptocurrency have the same problem?
If the whole point of crypto-currencies, anonymity, is an illusion, I’d expect its value to drop to zero. Because while precious metals are a barbarous relic as stores of value, they do have practical uses both in industry and for ornamentation. Whereas crypto-currencies without secrecy are just an elaborate Ponzi scheme.
I’ve heard that if you own bitcoin and watch porn, the feds are going to raid your house and tell your wife and your MOTHER.
It’s true, I think I read that on the internet.
The future is obviously Bitcoin hawala.
“Also wouldn’t any other cryptocurrency have the same problem?”
You call it a ‘problem’. The NSA calls it a ‘feature’.
FYI, most US dollars exist as a highly traceable cryptocurrency and not as actual cash.
It’s just a public ledger showing bitcoin amount transfers.
You keep your bitcoin in a public digital wallet.
This article is saying you can sometimes trace transactions in the ledger to specific wallets.
There are actually bitcoin anonymizer services to help maintain anonymity, but even they are not foolproof, especially when large quantities of bitcoin are involved.
https://btcmanager.com/zerolink-bitcoin-anonymizer-service-going-live-soon-test-participants-get-10/
“I’ve heard that if you own bitcoin and watch porn, the feds are going to raid your house and tell your wife and your MOTHER.
It’s true, I think I read that on the internet.”
How did your wife and mom take the news?
(-;
When will the DOJ or the IRS take Bitcoin down? Was it created by the Obama Administration to pay off ISIS or Iran. Did the US Gov create it to pay off drug producers? Gun Runners? who is behind it.
No surprise - whether connected or not, does anyone think that governments are going to turn a blind eye to this avenue of financial exchange? After all, the amount of revenue governments are missing out on via taxes is growing. Further, how much money do they see as being “laundered”?
One can't help but wonder if arms manufacturers aren't benefitting from bitcoin shielding the transfer of goods. Also, what about governments and corporations that transferred wealth to ISIS?
I'm deeply suspicious of the motives of governments, globally, for allowing bitcoin to last this long. One can't help but think that shielding certain transactions from public scrutiny was more important than was tax revenue which was lost.
Anything digital and somebody can find you, if they are motivated enough, skilled enough, and really need to find you.
Those in crypto-currencies know and have known that Bitcoin is only kind of anonymous. It is anonymous until someone starts digging into the origins of the transaction. (ATM they used, time, date, etc. to purchase it).
Now other more anonymous coins have been developed.
Anonymity is only one benefit/use of crypto. There are others (no permission needed by government to use it, global, distributed (not centrally controlled).
Crypto is like the internet in the 90s. It will change things considerably but it may still be a few years off.
Block chain is public. The IRS hired a firm that mines the owner’s info - for US citizens...
Bitcoin is pseudoanonymous, but with chain analysis, there is effectively poor anonymity.
For truly private transactions, one would transact with Monero, which uses ring signature, or Zcash, which uses zero knowledge proofs. You would send the transaction via TOR and/or VPN, on Tails.
If anyone finds Satoshi Nakamoto, the creator of Bitcoin, who interacted solely by the web and by email, that person will be a hero. Many have tried but Satoshi remains anonymous. He knew how to keep private on the internet. Bring in the NSA, maybe, but barring that, no luck so far.
Artificial intelligence created Bitcoin/Blockchain.
Google: Singularity
The “whole point” of Bitcoin is hardly anonymity. The crucial features are:
1. Decentralization. No bank or corporation or government “owns” Bitcoin beyond whatever amount they are willing to buy. There is no central point of control which can “turn off” Bitcoin or stop people from exchanging it, short of taking down the entire Internet and power grid.
2. Accountability. Every transaction is engraved in the blockchain and there it remains immutable for all time.
3. Immune to confiscation. Not being a physical item, there is nothing to steal except information. If you keep your private key (a string of characters) completely to yourself, you keep your Bitcoin no matter what.
4. Limited supply. There can never be a supply of Bitcoin above a definite limit of 21 million. At the moment roughly 17 million have been mined. The mining algorithm becomes ever more difficult as the overall supply increases. A Bitcoin cannot be produced without a significant investment in hardware and electrical power. Consider the contrast with fiat money, which has unlimited supply and costs less than zero to mint, because of interest paid on fiat newly produced by debt generation (a loan).
The bottom line is that Bitcoin and other cryptos are a more advanced medium of exchange which can only exist in a computerized society. They have attractive features (see above) which are not possible with fiat or PM. Owning Bitcoin is basically placing a long term bet that the best form of money will eventually win out and prevail.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.