Topic: Samourai Wallet seized by the feds - page 2. (Read 2019 times)

BTC's are not stored in wallets, but on the blockchain. Since it is a self custodial wallet, in which users are in control of their funds through their seed phrase, all they need to do is to import their wallet into a different software to access their funds. Nothing is lost.

Your funds can only be confiscated if you use a custodial service that holds the keys to your wallet.

what happens now to the money kept in those wallets?  

To be honest with you the world leaders are afraid of cryptocurrency they feel is a way of bringing down the value of there currency, so for a programmer it is advised to build a decentralized cryptocurrency just like Bitcoin in other to be in a save side.
The creator of Bitcoin is no were to be found no trace of him but what he created is growing bigger and stronger by the day and the reason behind it is that he built a decentralized cryptocurrency.
And believe me he would have been jailed if not that he disappeared.

Samourai Wallet has been taken down by the U.S. authorities: https://www.justice.gov/usao-sdny/pr/founders-and-ceo-cryptocurrency-mixing-service-arrested-and-charged-money-laundering. You can verify by opening samouraiwallet.com (it's under the authorities' control).

Another privacy enhancing tool goes down the road. Apparently, the governments use everything in their disposal to undermine the users' privacy. Samourai team had recently announced that they were developing a decentralized version of whirlpool, using the Soroban network. It could be the case that they foresaw their own disappearance.

Very frustrated. An important reminder and good quote is needed here.

R.I.P. Samourai.

just came across the following tweets from @freedomtech
which describes the fastest/most secure way to migrate all your funds from the Samourai wallet to the Sparrow wallet. you need 6 steps for this whole procedure and there is also a screen recording as a video guide for the whole process:
~

Does it even matter? For those individuals, of course but not for Bitcoin.

What this act achieves is scaring every programmer out there from even contributing to anything privacy related since they now know the anti-privacy dictatorship can traumatize them and their families like this. Not to mention all the huge legal fees these "programmers" have to pay.
Speaking of traumatizing families and legal fees, lets not forget this is not a new thing in USA. Lest we forget arrest of BurtW basically just because he was a bitcoin user...

Stop shitposting.

https://litecoin.com/en/news/the-litecoin-mimblewimble-extension-block-proposal-has-been-published


https://medium.com/dragonfly-research/breaking-mimblewimble-privacy-model-84bcd67bfe52

“We have to assume that the author conveniently confused transaction outputs (TXOs) with addresses, but these are not the same. And, as we’ve already detailed, the fact that TXOs can be linked is hardly news.”

Lehnberg’s critique of Bogatyy’s claims continues to address several further points, with his central line of argument — details aside — resting on the statement that:

“The Grin team has consistently acknowledged that Grin’s privacy is far from perfect. While transaction linkability is a limitation that we’re looking to mitigate as part of our goal of ever-improving privacy, it does not ‘break’ Mimblewimble nor is it anywhere close to being so fundamental as to render it or Grin’s privacy features useless.”

I don't have a node. What now? Setup your own and show us?

MW will offer pseudo privacy as before this history gets deleted those monitoring the network will be able to store the chain state, meaning even if values are hidden it is still possible to track user activity and interactions, so while yes, this will help with fungibility it is by no means perfect.

TL;DR: Mimblewimble’s privacy is fundamentally flawed. Using only $60/week of AWS spend, I was able to uncover the exact addresses of senders and recipients for 96% Grin transactions in real time.

You are missing it: The unaggregated data of the MW transactions is observed from your node.

Which one of these is a MW transaction? I am missing it probably. Old rusty can't see that well nowadays  

I do, since I have access to the data from Bitcoin nodes, I was easily able to deanonymize Whirlpool coinjoins:

I don't have to prove or provide anything. You are the one who claim MW isn't anonymous or its privacy can be broken. You should put your skills where your mouth is.

Okay, here's all the payments that can be tracked from the two new participants of the Whirlpool coinjoin transaction:

Entrant 1: bc1q03c0443ausjjdxl2h6ud5m8c0dux0zyg3dqdj7 created 0.00170417 BTC in unmixed change sent to bc1q3fduld0l3r8nclyt5p3r7ak675tekurstn55tl.  Since this UTXO is not private, the sats were marked as unspendable and have not been recovered by the wallet owner  

Entrant 2: bc1qzc8zku26ej337huw5dlt390cy2r9kgnq7dhtys created 0.00191247 BTC in unmixed change sent to bc1qjlltxr443uy236wl4xhpxlr6dgsu0zltlv3m44. This UTXO was used in a second tx0 transaction, creating a huge trail of transactions that could be traced to each other  

The 2nd tx0 transaction created 0.00076348 BTC unmixed change which was sent to bc1qehd7gy8rza9mnzm9wnfjhgw82rp47wmqt7vpgy

Since this unmixed change is below the .001 pool minimum, it was consolidated in a 3rd tx0 with 3 other addresses owned by the same wallet:
31x8GPqrhzdaxiBJa9N5UisuoxbX1rAnHa
16Gw5WKjbxZmg1zhZQs19Sf61fbV2xGujx
3LZtsJfUjiV5EZkkG1fwGEpTe2QEa7CNeY

The 3rd tx0 transaction created .00200317 in unmixed change which was sent to bc1q2p7gdtyahct8rdjs2khwf0sffl64qe896ya2y5
This was spent in a 0.00190000 payment to 3B8cRYc3W5jHeS3pkepwDePUmePBoEwyp1 (a reused address)

That payment left .00008553 in change that was tracked to 3Dh7R7xoKMVfLCcAtVDyhJ66se82twyZSn and consolidated with two other inputs in a 4th tx0 transaction:
bc1qeuh6sds8exm54yscrupdk03jxphw8qwzdtxgde
3ByChGBFshzGUE5oip8YYVEZDaCP2bcBmZ

This 4th tx0 created .00533406 in unmixed change which was sent to bc1qzh699s75smwukg9jcanwnlkmkn38r79ataagd9 which was consolidated with 3 more addresses into a 5th tx0:
3F2qiWQJKQjF7XFjEo8FUYP3AU5AC6RqX8
3HAYYVKUpYbr2ARMdZJr9yVu8xi8UcxtPz
3GQtwwRK31wwCc22q6WS5sCgixUHsG5KaT

The 5th tx0 created 0.00058494 BTC in unmixed change that was sent to bc1qvh2zjcwwkj9y70xulla2semvlav3lty0p3l3w3
This was spent in a .00047290 payment to bc1qvzg8jq6wqtr5navn4e3ps4qrkk9r6n4h98gjck

That payment left .00008411 in change that was tracked to bc1qg6j0f0wfhpktt2l8uzdn48ct3um2xyur40eyzd and consolidated with another input into a 6th tx0 transaction:
31iZLXWfoywhuMZTPGxTkpzphzh2NXshpP

The 6th tx0 created .00753775 in unmixed change that was tracked to bc1qgfll2apc27yct6h2c8r8wq4kqhxjsfrudhhn5q
This was spent in a .00737000 payment to bc1q5emzer2t0sq5dez0zsrqgh6scvwn0n24xsladp (a reused address)

This payment left 0.00010896 BTC in change which has not been spent yet, but the payment only took place 11 days ago, so I assume it will eventually be spent, allowing the Whirlpool user to be tracked even further.

Why don't you provide everyone the unaggregated data from your own MW node then as an example?