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Topic: Why not use Exchange instead of Mixer? - page 5. (Read 780 times)

legendary
Activity: 3542
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October 03, 2019, 02:13:41 AM
#8
You might never know whether exchanges are already snooping on your activities and mind you, they are being mandated by law to divulge information if they help facilitate money laundering schemes and/or similar activities that fall within the same line. I'd rather get my coins mixed in a mixing service than rely on an exchange that would probably ask me tons of KYC documents before I get to withdraw my funds.

Ofcourse I am talking about using exchanges without KYC. Binance allow unverified accounts to make withdrawals upto 2BTC per day which is quite ok.

Which is being questioned by the US authority. Sooner or later, some countries they are still servicing would do the same, requiring them to get local license and conform to the laws and regulations of those countries until the 2 BTC withdrawal limit/day is removed.

About timestamps, who knows mixers too maintain logs of every mixing performed on their site. It is not difficult task in PHP to maintain such logs.

It could be, but the risk is less than having your coins tumbled in an exchange. I'm not saying that mixers would not do that in any way, it's just they have the lesser chance of doing it knowing that the moment people finds out, they will immediately run out of business.
legendary
Activity: 2506
Merit: 1394
October 03, 2019, 02:13:25 AM
#7
(..........)
Ofcourse I am talking about using exchanges without KYC. Binance allow unverified accounts to make withdrawals upto 2BTC per day which is quite ok.
About timestamps, who knows mixers too maintain logs of every mixing performed on their site. It is not difficult task in PHP to maintain such logs.
But there are some exchange that has some regulation or restricted countries. Like if you are from UNITED STATES, especially their recent announcement:
Binance to Stop Serving US Traders Following Announcement of US-Dedicated Platform.
So, there is still some disadvantage of using an exchange compare to mixers. There are also some exchange that has a lot of countries restricted, even if you will sign up using an IP from the restricted country you will automatically blocked by the exchange or not allowed to use their exchange.
And also, I remember before, I am using some exchange and at that time, I  am also using a VPN which the country I used on VPN is one of the countries that are restricted to use their exchange, that's why my account locked and forced me to withdraw my funds.
copper member
Activity: 2940
Merit: 4101
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October 03, 2019, 02:11:29 AM
#6
simple: mixers are created to provide you anonimity, exchanges are not...

Exchanges usually require KYC info, they keep logs of all addresses, ip's, timestamps,... Mixers promise to do none of these things. If a hacker hacks an exchange (this is pretty common, happens all the time), he'll be able to link all of your wallets together (sending, exchange wallet and receiving wallet) AND he'll be able to link this info to your KYC documents, ip's, browser signature, timestamps. Same goes for 3 letter agencies requesting all the exchange's data. Thus, by using an exchange as a mixer, you can actually end up DECREASING your privacy instead of increasing it.


Ofcourse I am talking about using exchanges without KYC. Binance allow unverified accounts to make withdrawals upto 2BTC per day which is quite ok.
About timestamps, who knows mixers too maintain logs of every mixing performed on their site. It is not difficult task in PHP to maintain such logs.

An exchange without KYC doesn't matter and doesn't really help. People think they're safe when there is no KYC but they're not. It can be easy to find which exchange your address belongs to and since they keep your IP, etc... It can be enough to identify you because they will have no problem to snitch and will be very happy to do it. Smiley

Logs are kept a minimum, few hours/days, exchanges store your information for years.
hero member
Activity: 2912
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October 03, 2019, 02:06:55 AM
#5
I am sure we will choose what we feel comfortable. And if we feel that it is better to use exchange than the mixer, then we can choose the exchanges to send and receive bitcoin. But for some people who are not comfortable with that way, they will use a mixer because they care about their personal information. Besides that, they don't want to send any documents. Maybe they have their reason why they are comfortable with the mixer, and we have a different way of deposit and withdraw bitcoin.
legendary
Activity: 1974
Merit: 2124
October 03, 2019, 01:56:22 AM
#4
simple: mixers are created to provide you anonimity, exchanges are not...

Exchanges usually require KYC info, they keep logs of all addresses, ip's, timestamps,... Mixers promise to do none of these things. If a hacker hacks an exchange (this is pretty common, happens all the time), he'll be able to link all of your wallets together (sending, exchange wallet and receiving wallet) AND he'll be able to link this info to your KYC documents, ip's, browser signature, timestamps. Same goes for 3 letter agencies requesting all the exchange's data. Thus, by using an exchange as a mixer, you can actually end up DECREASING your privacy instead of increasing it.


Ofcourse I am talking about using exchanges without KYC. Binance allow unverified accounts to make withdrawals upto 2BTC per day which is quite ok.
About timestamps, who knows mixers too maintain logs of every mixing performed on their site. It is not difficult task in PHP to maintain such logs.
sr. member
Activity: 728
Merit: 368
Sancho
October 03, 2019, 01:49:33 AM
#3
In my opinion, it does not matter if you use a mixer or a centralized exchange to ensure anonymity - this is not good enough, and the possible negative side effects from both solutions are rather unpleasant. The need in both cases to trust a third party is something that contradicts the central idea of bitcoin. But in the absence of something better, this can be used carefully, aware of the risk.

...but if you trust the mixer, it's much more anonymous than an exchange.
Yes, but there’s a higher risk of getting bitcoins from the mixer, which can be marked as “dirty”. Smiley
legendary
Activity: 3584
Merit: 5243
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October 03, 2019, 01:38:00 AM
#2
simple: mixers are created to provide you anonimity, exchanges are not...

Exchanges usually require KYC info, they keep logs of all addresses, ip's, timestamps,... Mixers promise to do none of these things. If a hacker hacks an exchange (this is pretty common, happens all the time), he'll be able to link all of your wallets together (sending, exchange wallet and receiving wallet) AND he'll be able to link this info to your KYC documents, ip's, browser signature, timestamps. Same goes for 3 letter agencies requesting all the exchange's data. Thus, by using an exchange as a mixer, you can actually end up DECREASING your privacy instead of increasing it.

Ofcourse, a mixer can actually be a honeypot setup by a 3 letter agency, but if you trust the mixer, it's much more anonymous than an exchange.
legendary
Activity: 1974
Merit: 2124
October 03, 2019, 01:35:36 AM
#1
So, Mixers provide service of shuffling bitcoins or provide addresses loaded with bitcoins along with private keys. In short, they provide service so to create anonymity between sender's and receiver's address so that no one can trace the transaction.
My question is why not use Exchanges? When we deposit funds on exchange, bitcoins get deposited on exchange's cold wallet. But when we withdraw funds, withdraw gets processed from exchange's hot wallet. So in short, it is very easy to do anonymous transfer by depositing funds on exchange and withdrawing to other addresses. Why to pay 1-3% fees on Mixers when it could be done for much less on Exchanges. Exchanges like Binance charge just 0.0005 BTC to process withdrawals.
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