Topic: Crypto Investors: Are You Laundering Money? (Read 391 times)

I pay tax over the coins I trade on centralized exchanges, but won't ever pay a single penny in tax over that what I hold in my cold wallets.
~~snip

No one has the right to claim a part of my wealth that isn't being utilized in any shape or form. It's called theft if you're forced to pay tax over that part of your wealth anyway.

You are confused...Investing in cryptocurrency is no crime, laundering money is. Making money illegally and trying to hide that money using crypto is one thing. But earning money legally and investing in BTC has nothing to do with that. If you can prove that you earned your money legally and bought btc, you have nothing to hide or be afraid.

Well, this is how the media plays people's minds when they target cryptocurrency. The crime is not directly on bitcoin and it is only involved or used by the real perpetrators. It is a simple logic like fiat is used to fund terrorist or organized crimes but if you asked people about whose to blame then it's the terrorist/criminals or the financer/mastermind. But it's different to the perspective of other people when the crime is on crypto because on how negative the media portrays it.

Well, this is how the media plays people's minds when they target cryptocurrency. The crime is not directly on bitcoin and it is only involved or used by the real perpetrators. It is a simple logic like fiat is used to fund terrorist or organized crimes but if you asked people about whose to blame then it's the terrorist/criminals or the financer/mastermind. But it's different to the perspective of other people when the crime is on crypto because on how negative the media portrays it.

You are confused...

Investing in cryptocurrency is no crime, laundering money is.

Making money illegally and trying to hide that money using crypto is one thing. But earning money legally and investing in BTC has nothing to do with that.

If you can prove that you earned your money legally and bought btc, you have nothing to hide or be affraid.

Cryptocurrency is made for everyone just like fiat. If the people use it in the good or in the bad, then that is their personal choice.

They shouldn't blame cryptocurrency of what people do with it. But yes, regulation is also a must for the cryptocurrency to avoid illegal deeds. In our country, cryptocurrency is not yet used for money laundering as the criminals here are not that techy(unlike pyramid scheme business). Also, cryptocurrency is not always the best option for money laundering. Having a great accountant is enough.

What’s the value of a stash of hundreds or thousands of Bitcoins if you can never convert them to fiat? Bupkis, that’s what.

This is a new section from https://dailyiconews.com named the Crypto Skepticism of the week, written by Jason Bloomberg. I copy and paste.

As the crypto world tries to go legit, various exchanges and other feeders from the bottom to the top of the crypto food chain are implementing Know Your Customer (KYC) and Anti-Money Laundering (AML) technologies.

If you think of yourself as a criminal, then you probably realize the glory days of crypto may be past. But what if you don’t? Will you run afoul of KYC or AML?

First of all, it’s unlikely anybody cares about small transactions. After all, you can bring up to $10,000 in cash or cash equivalents across international borders or deposit such amounts into bank accounts, no questions asked (I’m referring to US regulations here, but many other countries have similar laws).

But if you’re Scarface or Walter White and have millions in cash to deposit, no on-the-level bank in the world will take your dough. And if you think selling off your stake via hundreds of small transactions is the answer? Sorry, that’s illegal as well (in the US, anyway), even though people advise just such an approach.

Such is the problem holders (or hodlers) of large amounts of crypto are facing. Whether you earned your stash via an ICO or via early bets on crypto or any other means, you now have beaucoup bucks tied up in Bitcoin or your crypto of choice.

The only way to sell off your stash is via illegal means – in other words, by becoming a money launderer yourself.

Good luck even opening a bank account, let alone converting your crypto to fiat. You’ll need to prove how you got those coins, who you got them from, and how they got them, ad infinitum.

Only said crypto is pseudonymous – or if you hold Monero, perhaps truly anonymous. Passing KYC and AML checks is now virtually impossible. In the words of President Trump, you’re f*cked.

What’s the value of a stash of hundreds or thousands of Bitcoins if you can never convert them to fiat? Bupkis, that’s what.

LOL, I don't get it, why do you need to go to illegal means if you have work your ass off to earn that money in legal ways? So for me this is bull-shit, you can break it down into small quantity and not liquidate huge amounts and to stay away from the radar. You can do full verification, KYC/AML and then you are done. I don't know what people complicate things. Although one advantage I have is that I'm in a country wherein crypto is very much welcome and I haven't had any problems converting it to fiat. But if I do? I will still go to the legit channels to be able to cash it out and no need to go to illegal means.

The only way to sell off your stash is via illegal means – in other words, by becoming a money launderer yourself.

What’s the value of a stash of hundreds or thousands of Bitcoins if you can never convert them to fiat? Bupkis, that’s what.

A lot of people think that cryptocurrencies are not leaving any kind of trace behind when they are sending/receiving coins, but the thing is the authorities are catching up on methods we haven't think off and mainly it involves around monitoring known addresses with unusual volume. Other than that they can track the physical money on where they are going. One way or another they'll notice that something isn't right that a person surprisingly become rich out of nowhere and most of them becomes careless on their part. With future regulations in hand and the industry is tightly monitored this kind of criminal activity would be less and less be active in the industry.

The only way to sell off your stash is via illegal means – in other words, by becoming a money launderer yourself.