First mixer sanctioned by US authorities (blender.io) - page 2.

BlackHatCoiner

legendary

Activity: 1512

Merit: 7340

Farewell, Leo

Quote from: NeuroticFish on May 09, 2022, 03:59:04 AM

So for now I think that the "fear" of mixing may be a bit exaggerated. Or maybe it depends on the exchange too.

It's not certain that your coins will be held until you provide more info, neither that they won't be accepted because they're blacklisted, but is it worth it? I mean, you're mixing to get privacy, but you're going straight to those anti-private and ambiguously deceitful companies? That's like pulling the devil by the tail.

I'm in the favoring position to have never used any centralized exchange. I only exchange decentrally whenever I want, whatever I want, with whoever I want. I'm mixing, because I can; because it's primarily a smart decision. Using a centralized exchange, hoping that your coins will be approved means you're somewhat agreed with this "taint" rule, which is against the principles of bitcoin.

And that's just one of the many reasons you should avoid CEX.

NeuroticFish

legendary

Activity: 3668

Merit: 6382

Looking for campaign manager? Contact icopress!

Quote from: BlackHatCoiner on May 09, 2022, 03:37:52 AM

Bitstamp, Binance, Coinbase etc., always treated bitcoin as non-fungible and enforced these arbitrary rules against mixing. You're not affected if you don't use centralized exchanges.

I did sell at Binance coins mixed at Chipmixer in the past year. Nothing bad has happened, everything was processed just like other non-mixed coins.
So for now I think that the "fear" of mixing may be a bit exaggerated. Or maybe it depends on the exchange too.

Of course, reading TOS is a must. Of course, testing the waters may be useful. Of course, keeping too much money on centralized exchanges is (and was) never a good idea.

BlackHatCoiner

legendary

Activity: 1512

Merit: 7340

Farewell, Leo

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this?

But, isn't this a problem since KYC became a thing? What's new now? Bitstamp, Binance, Coinbase etc., always treated bitcoin as non-fungible and enforced these arbitrary rules against mixing. You're not affected if you don't use centralized exchanges.

And, to be honest, I find it unreasonable to do such thing; you have obfuscated your outputs, made your activity hard to trace, enhanced your privacy and you'll end up handing out all of your personal info to some corrupted companies which will then sell it to politicians, private companies, the dark net etc.? Doesn't make sense. You either protect your privacy or not.

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

Of course one could always do another hop to "unlink" a set of coins from a mixer, but how many would be enough?

o_e_l_e_o

legendary

Activity: 2268

Merit: 18711

Quote from: Husires on May 07, 2022, 08:08:34 AM

like chipmixer will try to drain all the available chips, the site will provide new chips, they can monitor who sells it to Chipmixer and they will be able to reach the state or the party that runs the site

No one sells coins to ChipMixer. The chips they distribute are created from consolidated outputs from other users' deposits. For a large entity to "drain all the available chips", as you put it, they would first have to deposit at least as much bitcoin as the total value of all the chips. If they then drained all the available chips, then ChipMixer could simply recreate the same number of chips again from the deposit they received from said entity. There is no one selling coins to ChipMixer and so no one to track or monitor.

Quote from: ?? on ??

Government simply could use service offered by those blockchain forensic companies though. It's more effective (and might be cheaper) than creating their own forensic from nothing.

We already know that dozens of different government departments in the US alone spend tens of millions of dollars on the service of blockchain analysis firms. For example:

https://www.usaspending.gov/keyword_search/chainalysis
https://www.usaspending.gov/keyword_search/ciphertrace
https://www.usaspending.gov/keyword_search/coinbase
https://www.usaspending.gov/keyword_search/elliptic

Quote from: bbc.reporter on May 09, 2022, 12:56:51 AM

I cannot find the video, however, Charlie Lee said it would take at least 7 hops before an exchange will not mind where your coins came from anymore.

Pure guesswork, and it highlights just how stupid taint and taint analysis is. Some exchanges might think coins are clean after 3 hops, some might think 7, some might want more. Completely arbitrary nonsense.

crwth

copper member

Activity: 2940

Merit: 1280

https://linktr.ee/crwthopia

This is new to me, and I haven't seen anything about it being the first mixer sanctioned by the US. I think the people affected have been in the US, and they have a lot to fight for in that hack. There are a lot of people affected by the Axie Infinity hack. I didn't know that Blender was used to mix the funds etc.

My question would be is "Would this affect the different mixers as well?"

bbc.reporter

legendary

Activity: 3010

Merit: 1460

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

This is a first, but the same could happen agaisn't Chipmixer and/or other mixers. Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this? Of course one could always do another hop to "unlink" a set of coins from a mixer, but how many would be enough?

I cannot find the video, however, Charlie Lee said it would take at least 7 hops before an exchange will not mind where your coins came from anymore. The question however was only about avoiding problems on your account in Coinbase if your coins came from a gambling site. We cannot be quite certain if it would work if the source of your coins was from something more criminal.

dkbit98

legendary

Activity: 2212

Merit: 7064

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

U.S. Treasury Issues First-Ever Sanctions on a Virtual Currency Mixer, Targets DPRK Cyber Threats

I think this was done mostly because Blender is Russian based mixer, and with current situation everything that comes from that country is considered bad.
This world we live in today is starting to look more and more like one from George Orwell's book 1984, ''War is peace, Freedom is slavery Ignorance is strength''.
Now that people are fighting each other who is wrong and who is right, they can go ahead with their plans and control everything and everyone more than ever.

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this? Of course one could always do another hop to "unlink" a set of coins from a mixer, but how many would be enough?

Best solution would be not to use centralized exchanges that can one day block your account or seize your coins just because of your haircut, way you walk, or because you speak anything against government.
Using decentralized exchanges and P2P trading is always possible and I know people are doing face to face trades more than ever, but using anything else you should be ready for anything to happen.
There are some tools we discussed before that can check if addresses are ''tainted'' and risky or not, but I think it's all bias and controlled by some central authority.
If you think this is bad, what if in near future we have CBDC crap that can be spent only for things that is allowed to be spent in specific time period and than it's gone, that is next level craziness and they are working on it.

Husires

legendary

Activity: 1596

Merit: 1288

I remember that last year one of the blenders was Sized in the Netherlands or one of the European countries on charges of money laundering, but I do not think that such blenders will ever operate in the United States.

if the United States wants to stop the activities of the mixers, they can do so easily if they have the resources and for a mixer like chipmixer will try to drain all the available chips, the site will provide new chips, they can monitor who sells it to Chipmixer and they will be able to reach the state or the party that runs the site, and so on for all blenders.

If blenders don't keep customer records, that's good news.

For the average user, most likely he will not have a problem using the blender, but he must be confident that these blenders do not provide 100% privacy.

LeGaulois

copper member

Activity: 2940

Merit: 4101

Top Crypto Casino

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

but how many would be enough?

3 hops for something like an exchange, and 5 hops for something like a government (since a government has more resources) That's what is supposed to be but generally, it's the opposite. Most governments have fewer resources than companies using blockchain forensic companies.

The number of hops was something Andreas was talking about in a video long ago, and he argumented. I'm too lazy to look what's the exact video but it should be a video about coinjoin or mixers

As for blender.io, I was smelling something like this the last month but since the proof is only what matters and I didn't have...
It won't be the last for sure but the persons running such service should anticipate before. It's all about being pro-active

Quote from: stompix on May 06, 2022, 10:23:13 AM

That being said, I made once stupid mistake of sending coins mixed through CM directly to Bitstamp the mother and father of all KYC, nothing has happened yet, deposit and SEPA without a hiccup, so probably it's not yet such a big deal.

I did it so many times before with ChipMixer and Kraken and never got a single problem (but yeah I admit bitstamp is the whore of the KYC). I have probably never used the Kraken account for something else other than CM. Account 100% chipmixed and kraken were happy with me Grin

PX-Z

hero member

Activity: 1554

Merit: 880

pxzone.online

Quote from: logfiles on May 06, 2022, 04:22:57 PM

I think that was their exit plan, and they are not coming back. Perhaps they noticed they were being watched. Some of us remember how Bitblender left the scene?

So far, no users posted complains regarding locked account/funds or whatsoever there on their ann. So it's good to assume that no users faced a problem there unlike bitblender, well, maybe in the next few months.

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this?

That's a big no for me. Even just gambling website funds to an exchange is risky, how much more from a mixer.

But if in any case that chain analysis can detect/linked the addresses of any mixer then its really fuck up.

logfiles

copper member

Activity: 2170

Merit: 1822

Top Crypto Casino

As we speak, Blender.io and their wallet, Blenderwallet.io are offline.

At first, they said that blenderwallet was hacked in July last year - https://bitcointalksearch.org/topic/m.57299512

And then they announced that they are shutting down the wallet and mixer for "maintenance" on 5th April this year - https://bitcointalksearch.org/topic/m.59765651

Quote from: blenderio on April 05, 2022, 08:15:17 AM

Services blender.io and blenderwallet.io are closed for maintenance. Completion dates for technical work will be announced later.
Your funds in Blender Wallet are safe. You can wait for the service to open or access them with a mnemonic and passphrase in the Electrum wallet or any other compatible wallet.
For those who have not received mixing results, they will be sent when the service starts.
We apologize for the inconvenience, please do not worry, the services will be resumed in the near future

Sincerely, which kind of service can shut down for over a month to carry out maintenance?

I think that was their exit plan, and they are not coming back. Perhaps they noticed they were being watched. Some of us remember how Bitblender left the scene?

stompix

legendary

Activity: 2912

Merit: 6403

Blackjack.fun

Quote from: TryNinja on May 06, 2022, 09:45:37 AM

Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this? Of course one could always do another hop to "unlink" a set of coins from a mixer, but how many would be enough?

I think that's the least of your worries if you're in the US.
Lately exchanges have increased their demands about the funds inch by inch, asking you when you get them, where you get them, proof on how you've got them, with what funds, probably ending with questions about the the pubic hair color of the dog of the cousin of the one that sold you the coins. So just obfuscating the chain of transactions won't help too much you in these cases.

That being said, I made once stupid mistake of sending coins mixed through CM directly to Bitstamp the mother and father of all KYC, nothing has happened yet, deposit and SEPA without a hiccup, so probably it's not yet such a big deal. Exchanges will try to delay any such actions as long as they can, they are losing money and volume, they might want to obey the law but not to the point when it strat costing them money.

TryNinja

legendary

Activity: 2758

Merit: 6830

I haven't seen a single mention about this on the forum.

U.S. Treasury Issues First-Ever Sanctions on a Virtual Currency Mixer, Targets DPRK Cyber Threats

Quote

WASHINGTON – Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) sanctioned virtual currency mixer Blender.io (Blender), which is used by the Democratic People’s Republic of Korea (DPRK) to support its malicious cyber activities and money-laundering of stolen virtual currency. On March 23, 2022, Lazarus Group, a DPRK state-sponsored cyber hacking group, carried out the largest virtual currency heist to date, worth almost $620 million, from a blockchain project linked to the online game Axie Infinity; Blender was used in processing over $20.5 million of the illicit proceeds. Under the pressure of robust U.S. and UN sanctions, the DPRK has resorted to illicit activities, including cyber-enabled heists from cryptocurrency exchanges and financial institutions, to generate revenue for its unlawful weapons of mass destruction (WMD) and ballistic missile programs.

This is a first, but the same could happen agaisn't Chipmixer and/or other mixers. Is anyone else worried about what may happen if you move funds from a mixer to big exchanges after this? Of course one could always do another hop to "unlink" a set of coins from a mixer, but how many would be enough?

Topic: First mixer sanctioned by US authorities (blender.io) - page 2. (Read 618 times)