Cash is more anonymous than Bitcoin, and if you have a massive amount of either you are faced with the same problem when you want to buy something worth a fortune legitimately. If you have Bitcoins they need converting to cash, then you have to deposit your massive amount of cash into a bank before buying something worth a fortune, and the bank will want to know where it came from.
You can't buy a mansion with cash, you have to go through the bank to buy it. There are a few companies selling lambos and mansions directly for Bitcoins, but you would still have to explain where they came from after buying your lambo and mansion. How many times have criminals had their lambos and mansions taken off them because they were suspected as being bought with proceeds of crime? Their source of cash was more anonymous than Bitcoin but they couldn't explain where it came from when they were asked about it.
Topic: Is bitcoin's anonymity really a problem for the governments and regulations? - page 2. (Read 2129 times)
November 28, 2015, 01:40:36 PM
November 28, 2015, 11:42:28 AM
it sure can become a problem since they can't place taxes on it to generate any revenue
Most of the fees regarding transfer of money goes to the banks... So I don't think that's a big reason
November 28, 2015, 09:14:49 AM
This kind of anonymity makes a "hole" for terorist to keep bitcoin since it's difficult to track it down who the owner of the address.
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
At my country, still not have a law but it's still not legal as normal payment ( means : use bitcoin with own risk )
November 28, 2015, 09:12:15 AM
it sure can become a problem since they can't place taxes on it to generate any revenue
November 25, 2015, 06:00:49 AM
The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have.
If it's trackable then why are all these countries banning or making bitcoin illegal?
It is traceable: "its pretty blib and dumb to do a lot of illegal transactions on bitcoin when it's so easily traceable" - Jeff Garzik [http://www.bitcoinisnotanonymous.com/#bitcoins-are-traceable]
That's the point of this thread. Why governments are afraid of bitcoin? Bitcoin is pseduo-anonymous, not anonymous. Maybe if governments and politicians understood this, they would not have so much objections regarding bitcoin. But as other's pointed out, there are many other possible reasons for this, which are more likely. For example, governments cant just print bitcoins whenever they like. They cant collect transactions fees, etc.
Bitcoin transactions are traceable but that doesn't mean you will be able to track down the person who is sending the bitcoins and you never will if the address is not associated to anything that could be related to that person.
November 24, 2015, 04:12:30 PM
The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have.
If it's trackable then why are all these countries banning or making bitcoin illegal?
It is traceable: "its pretty blib and dumb to do a lot of illegal transactions on bitcoin when it's so easily traceable" - Jeff Garzik [http://www.bitcoinisnotanonymous.com/#bitcoins-are-traceable]
That's the point of this thread. Why governments are afraid of bitcoin? Bitcoin is pseduo-anonymous, not anonymous. Maybe if governments and politicians understood this, they would not have so much objections regarding bitcoin. But as other's pointed out, there are many other possible reasons for this, which are more likely. For example, governments cant just print bitcoins whenever they like. They cant collect transactions fees, etc.
November 24, 2015, 10:17:26 AM
The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have.
If it's trackable then why are all these countries banning or making bitcoin illegal?
November 24, 2015, 06:58:47 AM
the main problem for government they can't took fee from my transaction
I think i don't have problem if government took fees for my transaction, it's for develop our country.But the real problem is when other country took fees from our transaction and no contribution for my country, that was what i dislike.
November 24, 2015, 06:57:21 AM
The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
If they tap into exchanges or any online shop database your are using bitcoins with your real name or address, they could track your bitcoin. Bitcoin is only pseduo-anonymous, thus if your id is link with your address(es), tracking becomes is relatively easy with resource governments or feds have.
November 24, 2015, 06:25:31 AM
the main problem for government they can't took fee from my transaction
In the end they are taking fees anyways, a lot of people still exchange bitcoins to cash because you can't buy a lot of things with bitcoins so they end up taking fees when you withdraw the money to your bank, obviously not as many fees. In the end taxes are needed, it's not like we pay taxes for nothing.
November 24, 2015, 06:06:57 AM
Re: Is bitcoin's anonymity really a problem for the governments and regulations?
It's a big problem for the type of governments that what to spy and log and track everything you ever do. Unless you go out of your way to hide your activity by using proxies and mixers etc they'll still likely be easily able to find out what bitcoins belong to you anyway.
But it can be anonymous if you want it to be regardless of what people might think. If one bag guy wants to send money to another bad guy then they can do that without revealing their true identities if they're careful and there's nothing someone can do about it. This is a problem for govs but it's something they're going to have to deal with and it's no different from cash transactions that they can't really trace. Bitcoin isn't going anywhere at the end of the day regardless of the problems it causes for the powers that be.
It's a big problem for the type of governments that what to spy and log and track everything you ever do. Unless you go out of your way to hide your activity by using proxies and mixers etc they'll still likely be easily able to find out what bitcoins belong to you anyway.
I was just reading this article:
Anonymity Recognized as Serious Problem with Bitcoin
https://coinreport.net/anonymity-recognized-serious-problem-bitcoin/
It says, among other things:
I wonder why so many people worry about this? It is rather known fact that bitcoin is not anonymous, but only pseudo-anonymous (http://www.bitcoinisnotanonymous.com/). And what will happen with Bitcoin if CT or Zerocoin or some other technology will be incorporated to bitcoin, to make it truly anonymous?
Anonymity Recognized as Serious Problem with Bitcoin
https://coinreport.net/anonymity-recognized-serious-problem-bitcoin/
It says, among other things:
Quote
some fear anonymity might be the issue that truly threatens bitcoin’s future
Quote
Regarding anonymity, Bernanke explained it’s a “bug” in that it allows bitcoin to be the vehicle for illicit transactions. He suspects government oversight will be a result of this, and could reduce the appeal of bitcoin and other cryptocurrencies.
I wonder why so many people worry about this? It is rather known fact that bitcoin is not anonymous, but only pseudo-anonymous (http://www.bitcoinisnotanonymous.com/). And what will happen with Bitcoin if CT or Zerocoin or some other technology will be incorporated to bitcoin, to make it truly anonymous?
But it can be anonymous if you want it to be regardless of what people might think. If one bag guy wants to send money to another bad guy then they can do that without revealing their true identities if they're careful and there's nothing someone can do about it. This is a problem for govs but it's something they're going to have to deal with and it's no different from cash transactions that they can't really trace. Bitcoin isn't going anywhere at the end of the day regardless of the problems it causes for the powers that be.
November 24, 2015, 06:01:51 AM
All of this is bunch of BS quite honestly! Cash is 10 times more anonymous than Bitcoin. Truth of the matter is that if you really want to be completely anonymous with Bitcoin, you have to take many precautions that are not at all easy to take. And if you make just one mistake along the way, there goes your anonymity! And everything is so easily followed online and via the blockchain.
These so called experts are just talking out of their a**es !
These so called experts are just talking out of their a**es !
Yes. but cash can be printed by the government. bitcoin cant. Thus, governments dont worry about cash too much, i think, as they control its supply.
November 24, 2015, 05:20:47 AM
The governments fear is the anonymity that revolves around bitcoin. They can't track everyone's personal info down plus they don't gain anything from bitcoin.
November 24, 2015, 05:19:52 AM
All of this is bunch of BS quite honestly! Cash is 10 times more anonymous than Bitcoin. Truth of the matter is that if you really want to be completely anonymous with Bitcoin, you have to take many precautions that are not at all easy to take. And if you make just one mistake along the way, there goes your anonymity! And everything is so easily followed online and via the blockchain.
These so called experts are just talking out of their a**es !
These so called experts are just talking out of their a**es !
November 24, 2015, 03:47:16 AM
It is hard for government to track the coins as addresses are pseudonymous means that they can't identity illegal fundings and money laundering. It is a slight problem since places like localbitcoins doesn't require ID and does not need to comply with the local policies. Even with regulated exchanges, people can still do trades underground and thus pose a problem for money laundering concerns.
Its not hard. They can do it very well actually.
What do you mean by they? Governments? NSA? Exchanges?
it's the central autorithy of any country, bank have also the same importance basically
and like it was said the terrorist need to dump at some point and when they dump for fiat they are traceable, moving big funds of bitcoin is not easy to link with terrorist but they are useless in the end
November 24, 2015, 02:29:01 AM
I bet their real problem with Bitcoin is not anonymity. Their real problem is that they dont control it, cant reverse transactions and cant print more when they need more money.
They can still take your coins from you by invading your house and taking all your belongings there.
Just look at what happened to BurtW. IF they want to, they can make your life as hard as with fiat.
November 24, 2015, 01:54:32 AM
Regulation is not the problem; it is education
https://bitcoinmagazine.com/articles/law-enforcement-and-regulators-agree-bitcoin-not-useful-for-terrorists-already-regulated-appropriately-1448316076
https://bitcoinmagazine.com/articles/law-enforcement-and-regulators-agree-bitcoin-not-useful-for-terrorists-already-regulated-appropriately-1448316076
November 24, 2015, 12:33:15 AM
It is only a problem for them, if they lose out on tax opportunities AND if they cannot control the flow of the currency out of the country. Some government employees even use it to receive bribes or they steal it, when it is seized from the public.
It is all about the control of the monetary system and the reluctance to sacrifice the power they have over it. If only they could offset that negative side with all the positive things < Job creation / Tax income >
It is all about the control of the monetary system and the reluctance to sacrifice the power they have over it. If only they could offset that negative side with all the positive things < Job creation / Tax income >
November 24, 2015, 12:10:27 AM
It is hard for government to track the coins as addresses are pseudonymous means that they can't identity illegal fundings and money laundering. It is a slight problem since places like localbitcoins doesn't require ID and does not need to comply with the local policies. Even with regulated exchanges, people can still do trades underground and thus pose a problem for money laundering concerns.
Its not hard. They can do it very well actually.
What do you mean by they? Governments? NSA? Exchanges?
November 23, 2015, 11:51:25 PM
The anonymity is only being directed as a "wrapping paper" in order for banks and competing services to lobby against bitcoin,
while the anonymity as a real problem doesn't even exist. Every satoshi can be traced all the way back to block it was generated from.
while the anonymity as a real problem doesn't even exist. Every satoshi can be traced all the way back to block it was generated from.
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