AML - Anti Money Laundering | Bitcointalksearch.org

SquirrelJulietGarden

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Quote from: o_e_l_e_o on July 17, 2022, 02:51:15 PM

On the contrary: A non-KYC peer to peer trade such as via Bisq or LocalCryptos often has far lower fees than the same trade on a centralized exchange, once you factor in the centralized exchange's trading fee and withdrawal fee.

On peer to peer trading platforms like Bisq, trading volume is low and it can be a barrier for people.

Time is another thing. You will have to wait for trade partners to open your offer, open a trade, and complete it. On centralized exchanges with high trading volume, it can be done in seconds but no privacy, higher trading fees and risk to have account freeze.

On peer to peer trading platforms, don't chase for high profit from newbie accounts. They are very possibly scammers.

The Cryptovator

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Quote from: ?? on ??

Totally agree. I wanted to exchange btc to fiat. So now the exchange point has their address frozen and demand verification from me. I had transaction sent by third-party and their addresses did not pass AML check. So now no fiat no btc.

I am not getting the exact case here. Where have you tried to exchange? On the centralized exchange or p2p exchange? What is the exchange name? Make sure the person you sent Bitcoin not cheating on you and not collecting your personal documents. Using centralized exchange means you have to be ready and always provide your KYC documents. Write more details about your case, so we may learn.

o_e_l_e_o

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Quote from: BitcoinGirl.Club on July 16, 2022, 05:14:28 PM

It's sad, they are policing crypto users and for them using mixer means you are whitelisting your black coins. Privacy does not matter for them.

Any platform, service, exchange, or wallet, which implements blacklists and does not accept particular coins is actively undermining the core principles of bitcoin and should be avoided.

Quote from: BitcoinGirl.Club on July 17, 2022, 01:47:02 PM

Problem with P2P platforms are they cost a lot of fees when you are going to with any non-KYC site.

On the contrary: A non-KYC peer to peer trade such as via Bisq or LocalCryptos often has far lower fees than the same trade on a centralized exchange, once you factor in the centralized exchange's trading fee and withdrawal fee.

BitcoinGirl.Club

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Quote from: coupable on July 17, 2022, 01:24:11 PM

Like you, I use relationships from a circle of close friends (fecebook) who are constantly trading in the crypto space.

It's one of the advantage when you are in the space for long time. But I think not many have the same network and for them P2P platforms are only hope. Problem with P2P platforms are they cost a lot of fees when you are going to with any non-KYC site. Localbitcoins used to be good and then they were into the same route of asking KYC from the users.

We can enjoy the true decentralized financial system when crypto will be accepted by a large portion of the total population.

coupable

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Quote from: BitcoinGirl.Club on July 16, 2022, 05:14:28 PM

Quote from: coupable on July 15, 2022, 04:21:38 PM

As suggested to you by the rest of the members, the best solution is to use the peer-to-peer services provided by many platforms such as Binance. It is also advisable to split

Binance is not a good option. You can not trade P2P unless you KYC verify your account. I was able to have a circle around me who regularly trade crypto. Most of the time they have my back 😉

Like you, I use relationships from a circle of close friends (fecebook) who are constantly trading in the crypto space. But this option may not be the best option to exchange a large amount, with all the risks it carries. When I suggested Binance, it might not be the best option, but I've used it several times without problems and haven't read any complaints about it. It certainly requires identification procedures, but I suggested it from experience and there are certainly better options than it.

abel1337

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Quote from: dansus021 on July 16, 2022, 10:43:09 PM

Quote from: goldkingcoiner on July 15, 2022, 02:01:20 PM

There have been multiple such cases. Not only because of AML high risk positive after an transaction from some address that is black-listed, but it can be for any reason the exchange wants it to be. They can make up literally any reason and call it suspicious. Using a VPN? Suspicious. Having too much money? Suspicious.

One of my friends got a temporary binance banned for using VPN from different countries each login. I mean what the Heck we are using a VPN for protecting why we still get banned Sad

If the second auth pretty much match we safe right

Maybe your friend used an IP address from the VPN your friend is using that Binance are banning. I'm not so sure about this but maybe Binance has the list of flagged IP addresses, If you log in into those your account will be flagged. US Based IP is the one I can think of that your friend used that time since they binance is surely flagging those, This is why they encourage US users to use Binance US.

Findingnemo

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Quote from: AlexanderCurl on July 15, 2022, 01:56:56 PM

Has anyone had their cryptocurrency address frozen on exchange due to AML high risk positive after some transaction from address that is black-listed?

Personally I reported someone who traded with me on p2p site who is actually hacked someone's bank account and used the funds in their to buy bitcoin from me but luckily the amount isn't that big it is only $100 so I returned the funds to the same bank account from my own pocket to avoid any risk coming to my bank account then I reported the user to LBC support team and they immediately locked his/her account with few thousands dollars worth of bitcoin in their then the person used to contact me with the old chat because it is actually active for few months but he said LBC never released his funds and he lost it.

dkbit98

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Quote from: AlexanderCurl on July 15, 2022, 01:56:56 PM

Has anyone had their cryptocurrency address frozen on exchange due to AML high risk positive after some transaction from address that is black-listed?

Luckily it never happened to me because I don't like using centralized exchanges so much, but I know other people who reported frozen coins, and they later needed to provide documents and coin history.
There are even some websites and bots who allegedly rank your coins risk level, but I think all that is ridiculous behavior forced by regulators.
If you send coins to centralized exchanges you can expect anything to happen, so I would never hold any coins there.
You can always use decentralized exchanges like Bisq, p2p trading, atomic swaps and other methods to bypass silly rules.

dansus021

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Quote from: goldkingcoiner on July 15, 2022, 02:01:20 PM

There have been multiple such cases. Not only because of AML high risk positive after an transaction from some address that is black-listed, but it can be for any reason the exchange wants it to be. They can make up literally any reason and call it suspicious. Using a VPN? Suspicious. Having too much money? Suspicious.

One of my friends got a temporary binance banned for using VPN from different countries each login. I mean what the Heck we are using a VPN for protecting why we still get banned Sad

If the second auth pretty much match we safe right

SquirrelJulietGarden

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Quote from: Fivestar4everMVP on July 16, 2022, 01:33:35 AM

Well, I agree with you, but I don't think it's all about investors, what about the traders who day trade everyday as their job?

It is fine if they do trades every day. If they do it, they must choose biggest and most trusted exchanges to store their money on that and trade there.

Decentralize money and trading on two to three exchanges. For safety of fund.

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There is absolutely no way you expect this set of people to withdraw their funds and deposit it back the next day spending so much on withdrawal fees all in the name of "not your keys, not your crypto", always consider the days they will trade without making any profit to cover the withdrawal fees.

It is always true, I agree. Withdrawal should be made after you get enough profit and make sure you reuse your initial capital to trade in future. Another step for safety of your fund. If you lose all from trading or exchange has issues and you lose all fund on it, you still have profit part from withdrawal.

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So I believe that when we say, "not your keys, not your crypto" we should remember the traders because that statement can make sense to a long term investor, but not to a day trader - but I guess that's their own risk to bear.

No. It is for all, investors and traders.

Don't store money on exchange if you don't trade. Traders trade more, investors must trade to buy and sell at least so they do need exchanges.
Try to get initial capital out of exchange. In most terrible case, you will not lose capital, not lose all.

Because you can win 10 times, 100 times but if you always store all your money on exchanges and in most terrible case, you will lose all, no capital in hands at the end.

BitcoinGirl.Club

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Quote from: coupable on July 15, 2022, 04:21:38 PM

As suggested to you by the rest of the members, the best solution is to use the peer-to-peer services provided by many platforms such as Binance. It is also advisable to split

Binance is not a good option. You can not trade P2P unless you KYC verify your account. I was able to have a circle around me who regularly trade crypto. Most of the time they have my back 😉

Quote from: franky1 on July 15, 2022, 04:32:20 PM

the main one.. using a mixer.. why.. well mixing IS LAUNDERING!!
must be emphasised. MIXING IS LAUNDERING

Recently we had a case where the exchange flagged the coin because of using mixer. According to them the AML checker gave them 100% score of money laundering. It's sad, they are policing crypto users and for them using mixer means you are whitelisting your black coins. Privacy does not matter for them.

o_e_l_e_o

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Quote from: BitcoinGirl.Club on July 15, 2022, 03:50:15 PM

What was the exchange name?

Yes, name and shame please. Let the community know which exchange is attacking the very principles of bitcoin by deciding it is not fungible and arbitrarily locking coins based on made up metrics, so everyone else can avoid this malicious exchange.

Quote from: coupable on July 15, 2022, 04:21:38 PM

As suggested to you by the rest of the members, the best solution is to use the peer-to-peer services provided by many platforms such as Binance. It is also advisable to split the amount if it is large.

Binance peer to peer is nothing short of a scam. It is still centralized, it still requires KYC, still requires you to give up custody of your coins in to their centralized escrow, and they can still seize your coins if they want to. If you want to actually trade peer to peer, use Bisq or LocalCryptos.

Quote from: xSkylarx on July 16, 2022, 02:02:20 AM

This is why any of my crypto transactions that will be sent to an exchange goes first to my trust wallet which is a non-custodial wallet. You have the full-control on those type of wallets which can only be compromised if someone has your private key or seed phrase.

Since Trust wallet is closed source (and owned by Binance), then I'm afraid you have no idea if anyone else has access to your private keys or seed phrase since you have no idea if these things were generated securely/randomly or aren't being sent off to some third party server like other closed sourced wallets have done in the past.

JeromeTash

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Quote from: Fivestar4everMVP on July 16, 2022, 01:33:35 AM

Quote from: SquirrelJulietGarden on July 15, 2022, 09:11:24 PM

and Not your keys, not your coins. So KYC, AML, centralized management put your account at risk if you store your coins at exchanges and in custodial wallets.

Well, I agree with you, but I don't think it's all about investors, what about the traders who day trade everyday as their job?
There is absolutely no way you expect this set of people to withdraw their funds and deposit it back the next day spending so much on withdrawal fees all in the name of "not your keys, not your crypto", always consider the days they will trade without making any profit to cover the withdrawal fees.
So I believe that when we say, "not your keys, not your crypto" we should remember the traders because that statement can make sense to a long term investor, but not to a day trader - but I guess that's their own risk to bear.

But he’s talking about storing coins in an exchange, so I think he's got a point. Even as a day trader, I don't think one gets to trade their entire equity at once, otherwise it's a bad practice if anything happens from an exchange shutting down or making a poor decision and the asset price does not go as expected. So why send all the coins in an exchange if you are going to trade only, lets say a tenth of the equity.

coupable

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Quote from: Darker45 on July 16, 2022, 01:08:29 AM

Quote from: coupable on July 15, 2022, 04:21:38 PM

...the best solution is to use the peer-to-peer services provided by many platforms such as Binance.

LOL! If you are to use P2P but through a centralized third party, never mind. It's pointless. The reason why P2P, I mean the real P2P, is preferred is that we could avoid these KYC and AML/CTF traps and those freezing of funds, tainted coins, blacklisted addresses, anti-mixed coins, anti-gambling funds, banned or restricted countries, and other policies and rules that are contrary to Bitcoin's fundamental idea which Binance adheres to.

You are right.
What I meant by that proposal was to offer a better alternative to the choice he made. And as I explained, by dividing the amount, if it is a significant amount, and using more than one peer-to-peer platform, I think this reduces the probability that his balance will be frozen.
In general, it remains dangerous to use centralized platforms with significant amounts .

Pmalek

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Luckily, I have not experienced such issues and wouldn't want to either. What you witnessed is just one of the dangers of using centralized exchanges, especially one that isn't that popular. You never mentioned the name. Can you tell us what exchange did that to warn the community to stay away from it?

Centralized exchanges can do pretty much anything. Freezing and locking people out of their funds is just one of those things. What's even worse, by accepting their terms of service, you knowingly/unknowingly agreed to all the nasty things that they can do to you. Things are eve worse when using centralized stablecoins because they can be frozen even in your private and non-custodial wallets.

xSkylarx

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Quote from: goldkingcoiner on July 15, 2022, 02:01:20 PM

They can make up literally any reason and call it suspicious. Using a VPN? Suspicious. Having too much money? Suspicious.

It's really dangerous to store your cryptocurrencies on an exchange especially if it's a huge amount. They won't allow you to appeal and won't tell the reasons why your account has been suspended.

This is why any of my crypto transactions that will be sent to an exchange goes first to my trust wallet which is a non-custodial wallet. You have the full-control on those type of wallets which can only be compromised if someone has your private key or seed phrase.

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Quote from: SquirrelJulietGarden on July 15, 2022, 09:11:24 PM

and Not your keys, not your coins. So KYC, AML, centralized management put your account at risk if you store your coins at exchanges and in custodial wallets.

Well, I agree with you, but I don't think it's all about investors, what about the traders who day trade everyday as their job?
There is absolutely no way you expect this set of people to withdraw their funds and deposit it back the next day spending so much on withdrawal fees all in the name of "not your keys, not your crypto", always consider the days they will trade without making any profit to cover the withdrawal fees.
So I believe that when we say, "not your keys, not your crypto" we should remember the traders because that statement can make sense to a long term investor, but not to a day trader - but I guess that's their own risk to bear.

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Quote from: coupable on July 15, 2022, 04:21:38 PM

...the best solution is to use the peer-to-peer services provided by many platforms such as Binance.

LOL! If you are to use P2P but through a centralized third party, never mind. It's pointless. The reason why P2P, I mean the real P2P, is preferred is that we could avoid these KYC and AML/CTF traps and those freezing of funds, tainted coins, blacklisted addresses, anti-mixed coins, anti-gambling funds, banned or restricted countries, and other policies and rules that are contrary to Bitcoin's fundamental idea which Binance adheres to.

mk4

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Quote from: ?? on ??

Totally agree. I wanted to exchange btc to fiat. So now the exchange point has their address frozen and demand verification from me. I had transaction sent by third-party and their addresses did not pass AML check. So now no fiat no btc.

I don't think it's a good idea to let the other person send the funds directly to your exchange for this exact reason. It's better that you receive the funds directly to a non-custodial wallet, and send it around a few times to give it some hops.

Now you know, I guess.

SquirrelJulietGarden

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Why KYC is extremely dangerous – and useless

and Not your keys, not your coins. So KYC, AML, centralized management put your account at risk if you store your coins at exchanges and in custodial wallets.

Topic: AML - Anti Money Laundering (Read 275 times)