Topic: Bitcoin & Anonymity - page 2. (Read 276 times)

Even though bitcoin is open and transparent, you can achieve some degree of anonymity using it. You will never be 100% anonymous 100% of the time, but you can be "pseudo-anonymous".

For example, if you received some bitcoin from an exchange you made KYC, those coins will be somehow linked to your personal documents and identification.
However, you can send those coins to a bitcoin mixer or to a coinjoin service. Those services will mix your coins with someone else's coin, and give you back other coins which are not linked to the ones you sent them, in a fresh new address.

You can read more about this kind of service here:

https://bitcoin.org/en/protect-your-privacy

Yes. Each time a block is solved the miner gets the 6.25 freshly mined bitcoins plus the fees. These fees have no connection with their blacklisted outputs and thus, they're whitelisted.

That was what I thought lol

Thanks for the corrections. I will update the topic as I gather more information

Are miners allowed to do that? I will definitely read the topic...thanks again

At first I also thought that it is anonymous, but encrypted transactions? I had never read that anywhere when I was a newbie. There is no encryption schemes in Bitcoin. Only hash functions used for the PoW mechanism & for the address generation, and the elliptic curve digital signature algorithm (ECDSA).

Instead of defining where the “anonymity” of Bitcoin relies on, I think that it'd be more expedient to explain why it can't be characterized as anonymous. It's not directly the identity reveal. It's the fact that anyone at anytime can observe the addresses (the pseudonyms) you've interacted with including the amounts transacted. If you publicly announce your pseudonym plus the amount and the receiver's pseudonym, it's enough to call it pseudonymity instead.

It indeed has a limited supply, but theoretically, there will always be clean coins from mining. If one paid 0.01 blacklisted bitcoins to the miner, they essentially aren't blacklisted anymore. It's an interesting topic, I had begun that discussion regarding the fungibility. Here's the link: The fungibility of Bitcoin — Long Term

​Bitcoin is anonymous! Almost every newbie believes that. I know I did, I even boasted about it to my friends. I am sure that many newbies are like me and think that Bitcoin transactions are encrypted and cannot be tracked. But after joining the forum and months of research I come to find out this isn't true.
https://www.reddit.com/r/CryptoCurrency/comments/onajts/anonymity_and_cryptocurrencies/
   Bitcoin is not anonymous but pseudonymous. What does it mean?
All of the anonymity of Bitcoin solely rests on the fact that the address of your crypto wallet is not connected to your identity in any way. When you open a new wallet, you should not provide any information about yourself. But if you have registered your wallet in crypto exchanges that require kyc verification, then there is a high chance that you and your crypto wallet can be connected.
   Bitcoin cannot be anonymous and transparent at the same time.  Bitcoin is built on the blockchain network. What is the blockchain network? Blockchain is a public journal where every transaction ever made is recorded. Anyone can find out using blockchain explorer how much money is in a bitcoin wallet, when and from which address the money came.
If one receives bitcoin that is connected to a criminal address will that person be indicted too? Will every address connected to such account be tagged also? There is limited supply of bitcoin in circulation so such scenario is very possible. If that happens how does one clean the slate?