~snip~
This is why I have chosen Monero for my holdings. I feel much safer when the government does not know how much I have (and I didn’t acquire it on a KYC exchange).
They only know how much I sold in a given year, and from that, I pay taxes.
/Over&Out.
First you buy something without KYC and without the state even knowing you bought it - and then you sell the same thing (I don't know how) and pay taxes? To pay taxes, you probably have to show them proof of incoming and outgoing transactions, which then completely nullifies any anonymity you achieve in the first step.
I never had to show any of my wallets, but I have one prepared in case they ask.
1. Send XMR from the main wallet to a proxy wallet.
2. Send XMR from the proxy wallet to an exchange (whichever one you choose).
3. Sell.
If the exchange or your tax office requests details, you provide them with the view key or printouts of the proxy wallet.
Source: Mining in the early days. You’ve transferred coins from your old wallets to this new one for security reasons.
If they want to accuse you of a crime, they’ll need to produce evidence.
They cannot force you to reveal your other wallets-you might not remember them, or you might reveal them one by one when you decide to sell, each containing only 5 XMR. You get the idea.
This strategy, of course, only works with Monero. Other projects are complete failures when it comes to privacy and fungibility.
In the worst-case scenario, if you have a significant amount and your tax office causes trouble, you can take an extended vacation in Monaco and pay 0% tax on your gains.
If you hold a large amount and they cannot seize or even see it, they will always lose. Just hire the best lawyer in town and watch them crumble-I’ve already done this in different cases.
Everything I’ve written here aligns with the law, even if it doesn’t align with their greedy, unscrupulous intentions.
If you use a transparent asset, they can impose a penalty as severe as your holdings, and then it’s GAME OVER!
Only Monero provides true freedom, which is why governments fight against it and promote Bitcoin-it gives them
absolute power over you.
/Over&Out.