Blacklisting Wallet Addresses Across Various Bitcoin Wallet Types - page 2.

Zaguru12

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Quote from: CryptoHeadlineNews on March 25, 2024, 03:27:37 PM

But if I may ask, what could make a person want to blacklist a wallet address from sending him/her some BTC? Because I'm yet to get any reasonable reason for one to think about the implementation of such feature amidst the millions of BTC wallet address in existence.

But, however, I'm very much open to learning if anyone has a reason why such feature is needed. Thank you

Aside of the explanation above they are also this dust attack issue where dust amount of bitcoin is sent to your wallet to monitor it. Blacklisting will simply stop it from coming into the wallet but it’s a very bad idea of decentralization. That means restricting others from performing their task. This kind of proposal could escalate to even restricting one from spending their bitcoin.

The only thing close to blacklisting is the restriction of one’s CEX accounts which is not a bitcoin protocol feature.

NeuroticFish

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Quote from: CryptoHeadlineNews on March 25, 2024, 03:27:37 PM

But if I may ask, what could make a person want to blacklist a wallet address from sending him/her some BTC? Because I'm yet to get any reasonable reason for one to think about the implementation of such feature amidst the millions of BTC wallet address in existence.

But, however, I'm very much open to learning if anyone has a reason why such feature is needed. Thank you

Let's say you are a big company (like MicroStrategy) and, for whatever reason (like wanting to look good in the eyes of some square-headed politicians) you don't want any questionable money getting to your wallet or cold storage. It could be an use case.
Or it can be a way to fight dust attacks.

Various centralized exchanges, gambling sites or other services that want to overly enforce KYC and "source of funds" may want to also do this kind of blacklisting (although in reality the current situation suits them best, since they can freeze user funds and - why not - use them for business' needs for a long time for free).

So while the concept of tainted money is pretty stupid (and should not be recognized by anyone who cares about bitcoin!), there can be businesses that may like such a feature like blacklisting.

The Cryptovator

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If you can block addresses for receiving or sending funds, that would stand against a decentralised ecosystem. Like a few other centralised currencies, you can't block or freeze Bitcoin addresses. For example, USDT can freeze addresses with funds. Means you can't move funds from your address. But I haven't heard yet if somehow you can block a sender's address. I don't think this feature will be found in any decentralised cryptocurrency. If so, it will no longer be decentralised.

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Quote from: Davidvictorson on March 25, 2024, 03:04:24 PM

Do you think this may be a feature that will be needed in the future for whatever reason best known to the user of the wallet?

This is a feature that can never be added to the Bitcoin Network because it's goes totally out of being decentralized to centralize.
Bitcoin is free for everyone to use the way they please while some may have use it for illicit things, every other currency even the fiat is not an exception but once the account can be trace to the owner then they will face the law, with the recent being Woman found with £2bn in Bitcoin convicted of money laundering arrangement offence https://www.bbc.com/news/uk-england-london-68620253.amp
While if this is for the reason to avoid Dusk attacks coin control is the best way to avoid it and this feature should be among the main features a good Bitcoin wallet should have

yhiaali3

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As most of the members pointed out above, Bitcoin is decentralized and I do not expect that such a feature can be created that can prevent a Bitcoin address from receiving Bitcoins from any other address.

I don't know what exactly your problem is and why you want such a feature. If such a feature could be made, governments would be the biggest beneficiaries because they would then blacklist some addresses and prevent them from sending Bitcoin to anyone else.

CryptoHeadlineNews

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But if I may ask, what could make a person want to blacklist a wallet address from sending him/her some BTC? Because I'm yet to get any reasonable reason for one to think about the implementation of such feature amidst the millions of BTC wallet address in existence.

But, however, I'm very much open to learning if anyone has a reason why such feature is needed. Thank you

NeuroticFish

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Bitcoin doesn't have such thing as blocking or blacklisting.
However, various centralized services, of which some may call themselves wallets, do have this, but it's more a stupid workaround:
* if their wallets receive coins that they consider tainted by their rules, they may seize them (but the funds were received, as you can see)
* if their users try to use their account to send coins to wallets the centralized service prohibits (for example gambling), they will not allow the sending and may lock the account

I will add that my statement doesn't include LN. I don't know LN good enough to also tell about it.

SatoPrincess

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There are websites where scam victims can make reports of how they were scammed and provide the scammer wallet address so it can be blacklisted and watched. Governments can flag a wallet address if they believe it is connected to a crime. They track the “tainted coins” on the blockchain until it eventually links to the identity of a person. Centralized exchanges can also freeze funds transferred from blacklisted addresses.
Bitcoin is decentralized and there is no such feature that can prevent a bitcoin address from receiving bitcoins. However it is possible for developers to ban address of Altcoins & smart contracts.

Z-tight

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There is nothing like blacklisting addresses in the BTC network, this is just a word used by the government and centralized services to attack BTC's fungibility. You cannot reject incoming BTC tx's, if you are worried about dust tx's, you can freeze dust utxo's, this is why coin control is very important, because it helps you with your privacy.

DesmondHayes

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I think not because Bitcoin would not be decentralized and censorship-resistant system anymore!

Charles-Tim

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There is nothing like this. You can not block coins to be received on your wallet.

If your are sent dust coin or you do not know the sender, just use coin control to freeze the coin. I will prefer to move my coins out of the addresses of the wallet and send it all to the addresses of another wallet which I have just generated its seed phrase.

Davidvictorson

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Is there a feature in any type of Bitcoin wallet—whether hardware wallets, software wallets, web wallets, paper wallets, multi-signature wallets, or Lightning Network wallets—that can blacklist another Bitcoin wallet address from sending Bitcoin to your own wallet address?
Do you think this may be a feature that will be needed in the future for whatever reason best known to the user of the wallet?

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