Topic: Money laundering via BTC (Read 485 times)

https://craigwright.net/blog/law-regulation/bitcoin-and-tax/

Well to be honest , there are lots of consequences in this subject. If we see , yes it can be use in money laundering because one one can track the transaction . And on the other side is bitcoin is limited , so as we all know the price always increasing for the rear or limited subject. So thats good to invest and be touched in cryptocurrency but we should not use for illegal uses. It will be better for the crypto community. Otherwise some strong rules will be imposed on crypto currency.

Just don't do shit

https://coingeek.com/ethereum-researcher-virgil-griffiths-trial-to-start-in-september-2021/

The purpose of money laundering is to take some illegal income stream (drugs, prostitution, whatever) and make it look like legitimate, legal income.

Or to think about it a slightly different way: to figure out how to pay taxes on illegal income so the government doesn't throw you in jail (or look more deeply into how you are paying for all those lambos and vacation houses) for not paying your taxes.

So is Bitcoin useful for doing that? Well... maybe. You would have to first figure out how to convert the illegal income stream into Bitcoin. Then what? Use the Bitcoin to buy stuff... and your government is still gonna want to know how you can afford all that stuff when you paid almost nothing in taxes.

Best way to cover your tracks would be to claim you bought the Bitcoin way back in 2010, when it was really cheap. Declare a big capital gain, pay the 20% (or whatever capital gains taxes are in your country) and enjoy life.

You'll want to run your Bitcoin through a mixer (like Samourai Wallet's whirlpool) before spending them just in case the tax authorities try to trace where they came from.

It's not easy to launder money in Bitcoin anymore even if you transfer it via mixer you are still gonna liquidate it in fiat currency which the authorities will definitely question where it come from. Authorities always track the movement of your money especially the taxing department you have and aml compliance department you have. Coming from a unknown Bitcoin transaction and then converting it to fiat currency will definitely make your fiat currency more suspicious to them.

It depends on how smart you are, there are few mistakes one can make when buying bitcoin with large amount of money, first is going to centralized platforms to buy bitcoin when you will need KYC to make the purchase successful, the best way to buy is through DEX or P2P, doing this leaves no track behind, also when you decide to  for Fiat do not use KYC verifications platforms

How long someone will keep money from corruption / haram by buying Bitcoin, 2,3,5,6 or one year law enforcement will find out through the bank account that you have.

Everyone wants to accuse Bitcoin as a form of money laundering, the fact is that it is false and untrue, no one has got real money and stored in Bitcoin, not to mention the risk of the price of Bitcoin going down.

Someone who does corruption will not keep their money in Bitcoin. All Bitcoin transactions are processed with the Bank. Over time, it will be known where the money is generated, Corrupt money tends to be used in the form of laundering such as: valuables that are easily moved from one place to another, such as: gold, Bitcoin cannot be a source of money laundering.

Some would suggest bitcoin mixers, almost all exchanges that you can trade your coins to fiat are requesting for strict KYC. I'm curious why you'd want to launder money that doesn't belong to you through bitcoin when at the first instance you don't know how to operate what you are planning to use as an escape route except you're an agent of the FBI. With this much said, you can launder money through bitcoin if you so wish to spend it only on bitcoin, but when you make selling to fiat you'd be apprehended in no time.

Even if he used the methods you mentioned it wouldn't be safe anyway. Bitcoin is traceable and sooner or later police intelligence can track the money and discover where it is. Then it becomes really easy to make the inverse way and discover the source of the dirty money. It's funny how criminals think they can use bitcoin for their activities just because the mainstream media keeps spreading new of events like this.
But actually I would say it's even harder to use bitcoin for money laundering than fiat, as it is just paper, not traceable.

Yup it's almost impossible. Earlier it was possible using tax heavens as exchanges located in these countries even after KYC didn't use to share the details of users with countries even on requisition but now things are different all countries have bilateral agreements with these countries and therefore there can be easy sharing of information in cases of tax thefts, money laundering and other illegal activities. Technically OP would be at too high of risk not only can his such assets be confiscated but a penalty and prosecution depending upon laws and amount can also be initiated.

It seems to me that OP is either trying to find some easy shortcut to go to jail or he/she/they probably is/are a funny attempt of a three-letter agency to come here and fish somebody. Handle with care.

Isn't it difficult to buy BTC right now that you have to submit data for KYC?
Once your wallet is linked to someone's wallet even if you do it outside a platform then it's linked to someone. And when regulations are tightened, tracing wallets and accounts may just be easy for authorities like IRS that's been trying to crack XMR. 

There is no single answer to this question. I do not endorse money laundering but I would just like to tell methodologies of how I have seen people doing this. Black money is merely that money which has not been fed into the banking system to avoid taxes on it. Now there can be various methodologies I have seen people using BTav for is
1. That you receive BTC itself from your employer/ customers and you receive them into a private key wallet and store them. If your employer is at a distant place away from your country this surely is the safest method of hiding the proceeds as the source is difficult to be traced out. There is only one precaution which is to spend the whole amount of money in that wallet whenever you decide to. This would ensure there are absolutely zero traces. So change your wallet after every receipt.
2. You receive money in cash but later buy Bitcoin. Now this is pretty tricky today as all exchanges demand KYC while converting fiat to btc and do it using Bank accounts. So only option is localBitcoins.com. Now you are pretty safe but the moment you decide to bring in this money to spend better spend directly in BTC.
3. The way idiots do this is they Directly purchase BTC from their bank account and hide that money in tax returns. This is the worst way and you can be caught any time.

Bad idea on the open transparent public ledger - thing can and will be traced

I did a bit of a search though and found this: https://www.groovewallet.com/what-a-billion-dollars-looks-like/ it depicts 100 million dollars being the size of a crate that could fit in a wardrobe, that aside, if you use €500 notes and post your wardrobe/fridge to wherever you'll be using a courier then it might still reach you (especially if you split it in 10 and pay them well for it)...

But yes bitcoin is a lot easier to smuggle through a border and especially if you just use memory (there's also not really much you can do if you remember your seed well enough) - I doubt you'd be needing to declare that). But I think bitcoin has some serious liquidity issues anyway once you get it across the border?

Yeah, well. But I think we'll agree on bitcoin being much easier to pass though borders. To pass on $ 100 million of cash through a border you'll need to hide the notes in a lorry or sth. The same as for diamonds and gold. However, if you want to pass the same amount of bitcoin you only need a hard wallet or a paper. Or you won't even need anything id you memorize you recovery seeds but I wouldn't rely only on my memory.

Certainly, Bitcoin can be used for money laundering and there are a lot of people already doing it because Bitcoin is anonymous and the true identity cannot be known, although all the data of transactions executed on the blockchain are recorded, but no personally identifying information is recorded for the users and this means that The identity of the user cannot be known, and the tracking of transactions can also be broken by some services such as mixers. Therefore, some stock exchanges began to require KYC and also implement AML.
Of course, this is a long-standing accusation for Bitcoin that it is used for money laundering and support for terrorism, but this is completely unfair because the use of some criminals bitcoin for money laundering does not at all mean that Bitcoin is used only for money laundering, but rather that it is used for hundreds of other legitimate things.

Precious metals and stones are too risky to be used for smuggling for money laundering, diamonds that are cut to smaller pieces loses their value. Gold on the other hands attracts scums that could get you into trouble when you should be avoiding one. Bitcoin is a good medium for money laundering although, it needs to be as discreet as possible so as not to attract suspicion online, we all know that someone watches the blockchain transaction. Bitcoin is not the best though, Monero will be the perfect candidate.

In my opinion this is possible to laundering money by Bitcoin. This is so much easy and risk free. Just buy Bitcoin and send it anywhere they want. Because no one can trace its transaction. This is one of the good option to make money white from black money. There is a little bit risk. But black money owner take this risk. This is not a big risk for them.

I don't say that money laundering is easy but the way they show it in tv programs and movies they make it seem easy for criminals like they just create a fake business or something that earns millions aside from the fake business they also have these shell corporations where they just make it look like their personal banks where they just sit their money there. With the use of cryptocurrencies it just uncomplicates things since they can just send their money back to them just to make it look like they are earning it.

The government should not worry about tracing cryptocurrencies but if they are legalized and every exchanges uses mandatory KYC once you convert your coins you need to explain to the government about the source of your amount. Considering the laundering amounts are huge it is impossible to do trades outside the exchange.

Despite saying that laundering might be possible but it is hard and it is easier to do that with fiat as people are laundering fiat for a long time and anyone who are deep into the shithole of making money illegal knows how to deal with them.

Possible, but not only with Bitcoin, but fiat can also do money laundering too.  That's why a centralized exchanger implements this KYC.

We can't deny the fact that Bitcoin and other cryptocurrencies can be used for money laundering especially Monero besides, for those who really want to do this they can always find ways to succeed in their felonious act.  In comparison to diamonds and golds, cryptocurrencies are more complex and anonymity is more secure in making transactions although we have KYC procedure it will still not be an obstacle for any culprit to continue using this platform for money laundering.

AFAIK, even governments have no way to trace such activity in crypto transactions if one is already made for money laundering.  IF, they know how to mix their coin for harder tracing the transactions.

Yes, governments are really working very hard to and try to break bitcoin's (pseudo) anonymity, so he might find success initially, but when you thought that you are free and can get away with it, suddenly the government will be hard on your trail. Monero for once with its privacy focus could be one options as well, but I'm sure we all heard about the $625k reward coming from IRS to somewhat break it as well.

Bitcoin mixers/conjoin/whirlpool could be your other options here, but it doesn't mean that you can get away with it, just saying. And how can you convert it to fiat though without going to exchange which requires KYC/AML. You can use P2P but it's not very safe as well.

Bro the government won't be issuing Anti-Money Laundering (AML) regulations and compliance with crypto services if people aren't doing illicit activities such as money laundering and tax evasion. If you are asking the "how" they are doing this I think it is pretty straightforward on how they have been using Bitcoin to launder their money one of their processes in making that dirty money is through mixing it for their Bitcoin to be clean. If you are thinking about laundering your dirty money then it is really a bad idea actually there is a recent case where the owner of a tumbling service got arrested because he is helping criminals to clean their money, Larry Harmon the owner of the Helix tumbler got arrested for this.

You could maybe get a way with it but  this is a dangerous route you are choosing to go with.
There are so many Bitcoin mixers I see on here and I wont tell you which to use but I believe many people use them for your idea.
Just have to be careful and not try to hide anything from the eyes in the sky.

Why don't you use fiat cash like USD for money laundering?  It exists long before BTC and from what I understood you can stash it in places that are hard to find. If inflation concerns you than visit local gold coin / bar dealers with your bags of cash and have them melt down bars before you to make sure it is real.  Also you have underground money remittance services, and nearly if not all works with major fiat currency such as JPY/EUR/USD.

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Because since 2011 COMEX is about to default on Gold.  Banks are running dry when Jewelry / gold coin wholesale institutions takes physical deliveries.  Tooks more than 3 month to find gold and to charge 15% premium for delivery.

It had all to do with physical precious metal manipulations, and had little to do with money laundering.  No major news outlet would cover JPM precious metal manipulation and fines imposed by the regulators.

[moderator's note: consecutive posts merged]

I would say that Bitcoin can be used for money laundering just like fiats are currently.
But we have to admit that it's much easier considering there is no central authority, you don't rely on a 3rd party and can avoid the 'mass surveillance'... No one asks you for anything, no one can control you, no one can confiscate funds, no one can impose a limit on transactions.


In some countries, it's now very difficult to buy gold and diamonds with cash, at least anonymously. Even in Belgium and Germany, where this was the norm before. In France, the amount must not exceed 1000€ to be able to pay in cash it's a sum quickly reached for gold purchases. 2,500€/day in Belgium and 5,000€ in Germany.
I don't know about other countries but this is the trend in Europe since 2011

That depends, I thought blood diamonds were still a thing also for storing wealth this way along with a bunch of other systems.

Bitcoin is worth very little compared to the diamond and gold industry and you can already get quite large amounts of cash across the border fairly easily afaik.

Hi guys ! My name’s Dave.

Is it possible to do money laundering via bitcoin? I mean as no one knows if you have bitcoin and how much bitcoin do you actually own, it could be used to convert black money to white right? Or at least store your black money without much hassle. But there is the risk of its value but I think for people who have lots of black money and don't want to be caught, this risk might be worth taking for them isn't it?
What are your thoughts?ข่าวกีฬา

Any help will be fine.
Thank you in advance.