Bitcoin Forum

What is the best, most secure and hard to trace way to transfer bitcoin to USD/EUR on a paypal account ?

You can't do it without being traced.  The exchange where you convert BTC to USD will have KYC requirements so you'll have to send them ID.  Same goes for Paypal.  You convert to USD on say Coinbase and send it to Paypal and the Paypal transaction will show where it came from.  You can't avoid leaving a trail through normal means of conversion.

You can convert small amounts in face-to-face transactions but that has its own problems like getting ripped off.

The best and secured way to transfer your bitcoins into hardcash then local transaction is the only way.If you are doing this by any other way like banking or paypal your transaction will be recorded so it is possible to trace.
So contact a local bitcoin trader you can find them at localbitcoin site and contact them personally if you want to transfer your bitcoin for money.

You can do it without being traced if you sell your bitcoin locally to someone that uses paypal
and sends you the money in your paypal account (i think they removed fees between members)
But Paypals tends to be obsolete nowadays. Thats about it
 

There are a lot of ways you can exchange bitcoin to paypal balance, the first and most secure way is to use and exchange site like poloniex, where you can trnasfer funds from bitcoin to paypal  and vis versa, another way would be to find somone who is willing to buy bitcoin in exchange for paypal balance, and you can find many offers on peer to peer exchange sites like localbitcoin, and in my opinion it would be the most intracebale one.

Once Paypal is part of the transaction, you can forget about not being traced.

But if you want to avoid exchanges, I recommend you to use a 'currency exchange' service. There's one here in the forum (https://bitcointalk.org/index.php?board=53.0), you can sell BTC for paypal, but you have to find someone trusted.

Local dealers are the solution. I heard that they can process millions if you need to.
But yes security is a big issue. You need to be careful with that.

The best way you can do it is in here , this forum, find the one that need Bitcoin and ready to transfer Paypal for it.

OP was specific about Paypal but if he's willing to bend a little, there are good options by using Bisq (formerly known as Bit Square).  Bisq is a decentralized exchange so there's no KYC, etc.  You'll still need to get your USD or EUR into the banking system somehow but there's no way around that even with Bisq.

Reason I said paypal is because you can pay for purchases like that.

I want to avoid bankaccount transfers as our government want 33% of the profit we make...

Usually it's the exchange (e.g. Coinbase) that reports to the tax authority.  In the US the IRS is only interested in Coinbase customers with >$20,000 in profits.  Paypal also doesn't report anything to the IRS that's <$20,000 in one year.

You didn't say how much money you're looking to convert.

Maybe for you will be useful services localbitoins.net . There many people who want to sell their paypal money for bitcoin.

Below 20k USD.

I have done identical exchanges in the past using Localbitcoins. It doesn't necessary leak your information to third parties, assuming that the person you do business with doesn't include a note saying "Bitcoin exchange". Always make sure to do some background check, before dealing with a person on LocalBitcoins, for example check some reviews about the dealer and google his username. Also read the instructions of the system, because newbies are an easy target for scams.  

Then you're probably good as far as tax is concerned.  As long as your deposits to Paypal are <$20K for the year.

Paypal IRS reporting:
https://www.paypal.com/us/selfhelp/article/How-does-PayPal-report-my-sales-to-the-IRS-Will-I-receive-a-1099-tax-statement-FAQ729

Coinbase reporting:
https://support.coinbase.com/customer/portal/articles/2924446-irs-notification

What about the debit cards ?

33% is a lot. But it is your fee for voting in elections. Such laws are passed by politicians who come to power by your vote. PayPal won't help you. You have a chance to change that in the election. Vote for yourself and agitate for those who promise you to make changes to the tax legislation. Politicians like to please people. Probably, the attitude towards bitcoin will be a trend among politicians in many countries.

There is no secure and untraceable way to exchange bitcoin to cash online because every payment proccesor or bank keeps a record of all transactions and ID's from people who make them for at least 2-3 years and they have to report it to the government in case of anything happens.

The only way you can exchange your bitcoin is through a local seller who is going to give you cash but again, that person is required to ask you an ID as the law says. You could also try the atm's that exchange your bitcoin instantly into cash but I dont know exactly how they work, I think they also require some of your personal information.

Well Paypal is a debit card.  Do you mean a debit card linked to your checking account or an anonymous debit card?

it's never hard to trace. paypal is always easily traceable, that's why it can't compete with bitcoin. you have easy to use ways of transferring btc to eur/usd though, try changenlly for instance

I think you can do it on localbitcoins, but I don't know if it is really secure, probably this is available for low amount of money. Why do you want paypal? there is a lot of different good methods.

Preferably anonymous.

Too easy this.

Apart from that : government is right winged. It would seem that no matter which direction you take in voting you end up with the same end result : screwed.
I would not go to vote anymore due to it being virtually useless, but we are legally obliged to go voting....

Why u are doing this buy tether its best way for save ur money i think if u dont want hodl bitcoin

There is a rumour that paypal is going to start accepting bitcoins as a form of payment with their new patented technology that speeds up transaction times. This is the main problem that is hindering acceptance of bitcoin as a form of payment

I see the official news released on the Coindesk and some more places too bro. If you want to transfer the bitcoin to paypal there are many people in the exchanges section to help you.
Please do not need to worry about the rumours which are all positive. That is very healthy for investors and we can expect the high value.

No rumor. Looks likes its true, both are soon to enter a marriage. I wonder how it is going to be pulled off, if users of cyrptos still demand their anonymity. See weblink to story below:

https://www.investopedia.com/news/paypal-files-patent-fast-bitcoin-transactions/

You can't cash-out anonymously, because every fiat account is traceable through your provided information on accounts like paypal and bank. With the regulation of cryptocurrencies it has now become somehow impossible to hide from government and accountability departments.

The only way is to deal in cash locally without involving banks and paypal, but still the risk is too much high here.