Topic: Buying BTC - concern if been through a mixer? - page 2. (Read 251 times)

The responses are greatly appreciated. 

So once purchased, I guess it must be reasonably easy to look at the BTC coin history and determine that it has been mixed/joined in the past. I don't know how that is determined, but I guess if you know what you're looking for in the history it's probably reasonably easy to determine.


I haven't purchased BTC (or other coins) before - are there any advantages to using a centralised exchange? I'm not aware of any, other than perhaps it may be marginally cheaper, but if someone hodls for 20+ years (or for good), then the slight difference in price is neither here nor there.

If I had enough stacked at some point, then it appears that it is possible to obtain interest from centralised sites such as Celsius Network, BlockFi or Nexo. Perhaps though, again, it would be best to use reputable de-centralised sites to obtain interest? Any thoughts?

A centralized exchanges has it own jurisdictions or rules about the coins came from, if they had terms of forbid any coins came from casino or mixer... of course they could frozen your account until you submit your KYC. In the worse case your account could be banned since it's break their terms, but right now most of centralized exchanges didn't really care where your coins came from. However it will be a problem if in the future all centralized exchanges will forbid all coins came from mixer or casino, they will force anyone to submit KYC.

Interesting topic. Never thought there exists such things and we should be worried about that ?
So what if I am receiving coins from mixer? Are they considered like illegal or may be under suspicion? If so then how do I trust the exchangers from where I am buying the coins? What if they are also laundering the coins considering they have huge volume of coins moving here and there all the time.

It’s coin right? Does it really concerns if it’s from P2P method, Mixer, Exchanger or straight out of mining payout pools ?

Is there a problem if it came from a mixer? Pretty sure that every coin has been tainted already and exchanges can't really be sure what they are going to do when the coins have some problem. With bitcoin circulating all over the Internet for a decade now, I think that we shouldn't worry too much about it.

This is why the whole "tainted" thing is completely nonsense.

An exchange has absolutely no way of knowing if coins which have been mixed, coinjoined, or whatever, were done so by you. Even if the coins came directly from a coinjoin transaction, you could have sold something to another party and given them your exchange address for payment. Further, the best evidence we have is that the vast majority of users are using these methods on completely clean bitcoin simply because they want to protect their privacy, and not because the coins have come from any illicit activity. The biggest source of coins passing through mixers have come directly from centralized exchanges, for example, from people not keen on some complete strange at a centralized exchange tracking their future transactions and ascertaining their entire financial history.

And how far back do they look? Look back far enough, and most coins can be "tainted" in some way or another. Look far enough in to the future, and literally every coin in active circulation will be "tainted". They can't block everything, or they would go out of business. So bounce a coin around 5 times and it is clean again? Utterly stupid.

I would suggest that if you are going to buy on a decentralized exchange, then you might as well sell on a decentralized exchange too and avoid all the massive risks which come with giving out your KYC details (considering most exchanges sell your data and/or have been hacked for KYC data). Or at least, find a centralized exchange which isn't going to arbitrarily lock your account and demand that you submit every detail of your life, a retina scan, and your colonoscopy report. As a bonus, you avoid all this taint nonsense altogether.

I don't think you should be concerned yet. Exchanges are not worried about this, in general (however there have been some reports about it, but nothing to be concerned in my opnion). But in the future, as regulations advances, this might become a problem.

There is a discussion about "tainted coins". There is a very informative video from Antonopoulos where he explains about it:
https://www.youtube.com/watch?v=BILcJ3WtdLQ

He is basic saying that some exchanges might want to see the X past transactions of your address, to see if those coins have been through a mixer/casino.

The problem is that if exchanges look back all transactions, they will find all that almost all coins have been sometime inside a mixer service or a casino. So all coins would be tainted.

Then the solution for the exchanges is look about 4-5 transactions. So you could easily bypass this check, just making a few transactions inside your own wallet, to address you already control. You could just send them at 1 sat/byte (minimum fee) as you are transferring coins to yourself you have no hurry.

Some exchanges indeed take the idiotic view that any coins which have been mixed, coinjoined, or otherwise had their history obfuscated are "tainted". However, if you are trading on a centralized exchange then you will have to complete KYC anyway, which is usually enough to overcome this issue. But trading via a centralized exchange can result in your coins being frozen at any time for any reason anyway, regardless of where they've come from.

No, there is no way to know in advance. It would be possible on some of these sites to examine the history of the coins the other party deposits to the escrow address before you make your fiat payment, but if you choose to back out of the deal at that stage then you will be penalized for it. Although if you are planning on using a decentralized exchange to buy, then why would you plan to use a centralized exchange to sell?

I always think over and buy only on serious exchanges and have never had problems with buying or selling. Sometimes I had to wait a little during hot sales or vice versa on the rise, but in my opinion this is normal and should not be taken into account. In general, the time for buying, in my opinion, has not yet come, I think we will again fall to 30 thousand and from there we will already begin to grow. I'll buy it there

I am considering purchasing some BTC using one of the following sites:

a) Bisq (BitSquare)
b) Hodl Hodl
c) LocalCoinSwap
d) LocalBitcoins

I have discovered online that it is possible for persons to send BTC through a mixer and that if this is done, it may cause issues if attempting to later sell via an exchange.

If I purchase via one of the four sites above from a seller, is there any way to determine if the Sats which I purchase have been through a mixer in advance in case this might cause an issue at some later date if I wanted to sell via an exchange or if I wanted to try to obtain interest for stacked sats, which I believe is also possible.

Is this something which should be of concern?