Bitcoin Forum

Hello. For some reason I'm really not sure if I already know the answer or not. Still learning.

If I am receiving some small bitcoin donations - 15,000 to 35,000 sats per donation, then how do I know if that donation is from a KYC exchange or a non-KYC exchange?

Does the answer depend on the address of the sender?

I'm still a bit confused about this. I don't want to mix up my KYC and non-KYC coins.

Thanks

Bitcoin = bitcoin.

Whatever you receive and wherever they are, it won't really matter at all. This is the kind of topic that's the same about tainted and not tainted Bitcoins which is concerning some.

But to be honest, you shouldn't be too worried whether they are from kyc/non kyc exchanges.

What if people tripping you sending you these donations from both ends? you'll just putting a lot of stress to yourself.

beter to find the address of the sender in a blockchain explorer, to be able to know if it is a donation on a KYC or non-KYC exchange. KYC exchanges publish sender details as non-KYC exchange generally does not.

To STINKYBEE, that's definitely something I should look at. I didn't know that KYC exchanges were so transparent. That's kinda the opposite of privacy, eh? I'm thinking that maybe I can keep KYC donations in a separate wallet AWAY FROM my non-KYC donations. Thanks.

But can you give us at least a brief reason why you need to do that? are you into something to hide from the government? sorry because just now that i have heard this kind of stuff in which we are talking about donation here and for me we should be thankful to that donor no matter where they get the funds because you have received that in your wallet so if those are from crimes/hacking then you need to explain that to the authority no matter what.

Why?  If you only want to pay taxes on KYC coins, that would be illegal.  Since this is not a darkweb pirate-type forum, giving you direction could incriminate us with whatever you do.

No, I'm not doing anything wrong or illegal. I simply don't trust that my government, the same one inflating my dollar, has my best interests at heart. I don't want any government telling me how, when, and where to spend my money or currency. If I want to buy a 'Snickers' bar or a loaf of bread, or a gallon of gas, then that's MY business, not the government's. I don't trust banks either now that they are closing accounts based on adherence to their corporate ideology.

You don't have to answer my question, but I am a firm supporter of Bitcoin and understand what it affords me. I will navigate these bitcoin softwares as best I can. Good day.

For tax purposes, you should declare all income, not just income from tracked sources.

Like boyptc said, you'll just put stress on yourself trying to seperate the two.

I am sure many of us in here share the same sentiment. I’m still curious though what is the real purpose of having to separate kyc to non-kyc donated bitcoins? If not tax evasion then what are you doing with separated bitcoins?

Anyway maybe you can provide different wallets each for kyc and non-kyc donations so that you don’t have to separate each donation yourself. Just let donators donate to a specific wallet based on what wallet they use.

When the bitcoin is donated you will understand yourself if the exchange is kyc or not then you will be asked to kyc. As far as I understand both wallets you can use all wallets for donation are same capacity or don't want to mix kyc and non-kyc coins so using separate wallets for kyc and non-kyc donation can keep donation in different ways.

To OP, you don't get to choose who can send to an address, anyone can as long as they have BTC and the address, you no need to worry about receiving if it's actually donations and not just a coverup or laundering the money to avoid taxes, right?

But you can stop using them if you want to, by using coin control feature that can be used to freeze specific UTXOs.

Since your name isn't in the laws regarding crypto taxpayers, none of the crypto tax laws apply to you. In fact, all the info in all the US tax laws applies to 'persons'. In law, persons are not people until the people accept that they are persons.

So, you are not a taxpayer... except when you have accepted that application of that term to yourself. If you are not a person or a taxpayer, what are you? Simple. You are a man or a woman, right? Tax laws can't be made to apply to men and women who are not persons, because doing such is not constitutional.

Laws are very precise. They don't assume anything. They mean what they say. Don't let a government 'salesman' talk you into being a person rather than, or in addition to, being a man or woman.

Search on 'offer and acceptance' in law. Anybody who tells you that you are a person on any government form is making an offer for you to accept what they say. Do not accept, right from the start.

8)

You can try to find information for addresses of donators.
List of useful Bitcoin block explorers (https://bitcointalk.org/index.php?topic=5197909.0)
https://www.walletexplorer.com/
https://platform.arkhamintelligence.com/
https://bitinfocharts.com/bitcoin/explorer/

It depends on not only addresses of senders but how senders, donators used inputs, outputs for their bitcoin transactions.

General guidelines for sending BTC transactions (https://blockchair.com/bitcoin/privacy-o-meter)

I'm smelling someone here trying to use a charity as a way to evade taxes, I mean why are so you uppity about the segregation of your coins when if you're a real donation platform, it wouldn't really matter because the money or the proceeds will probably go with the projects that you're planning to materialize right? As @Vod has said, no one's going to help you out in this situation because the extension of who's at fault will go to the person that helped you do it. Probably for the best too that this is the thing that many decided to do.

If you have bought time to read some post above mate you will see what OP says about your smelling here as I will
be happy sharing what OP says here


so Maybe its enough to understand what he really meant asking this here though it may be helpful if we extend our
advise and helps for op.

But it also doesn't make sense, I don't know if it's a person who doesn't know much about bitcoin and is mixing things up. If bitcoin is yours, it makes sense not to want to mix it up. You can have a bitcoin that you bought in an exchange with kyc and another bitcoin bought in another way without kyc (that because it was without kyc does not mean that you are not going to declare it later). But it is not good that someone who observes the blockchain can know all the bitcoin you have, so it is better to keep it separate.

But as for the donations, as you say, he should declare them all. The fact that some come from exchanges with kyc and others from other sites without kyc is not relevant.

First of all it's not legit to ask for suggestion for illegal actions. Any good traders know the basics of trading laws and as a sensible traders he/she will never giver any suggestion against the norms.

Governments and blockchains have right to charge you. No matter how much they charge you can launch legal campaigns for reductions but that's not the right way. As far as the address is considered it depends upon chain to chain consider contacting the help and support section.

If what OP says is true then technically I'm right, he doesn't want to pay taxes on his bitcoins because he hates them, you just pointed out what I'm trying to say there, thank you. Yes, I might be wrong that OP isn't doing anything illegal but my point still stands, OP doesn't want the bitcoin donations that they're getting to be taxed, I mean I too wouldn't want the government to benefit in my work when I know that it's not going to go anywhere but the pocket of officials, but still even if the cause isn't wrong or that you share the sentiments with it, the law will not, in the eyes of the law, if you help that person evade their taxes then that means you're an accomplice to the crime.

You're probably better off not worrying about that one, I think that you'd be better off worrying how you would make sure that you'd get the full bitcoin and not the after tax because that's where it's going to hurt the most especially when you don't want the government to have a piece of that bitcoin profit, you're probably going to need to do something about that one, much more scary than distinguishing the exchange bitcoins from non-exchange bitcoins.

The answer to your question is no. You can actually tell if the coin comes from an exchanged wallet or not but what you wouldn't know is if the exchange is a KYCd exchange or not. I don't think anyone can know this either, unless they are told.

KYC is very important and it's meant to be passed by people that indulges in crypto activities, this is because there's presence of bots. Bitcoin donation is privatized by those investors and holders, but there should be frequent record of every bitcoin transaction coming in and fro. Bitcoin should be stored in custodial wallets for there safety and ensure to keep the 12 phrase discreet. In crypto, we don't expose ourselves to the society, rather we keep them at distant and also executing more projects to ensure there's probably smooth.

Does this really matter? When you are just the receiving point? What's your concern about this aside from getting mix from KYC or not.

As long it's not from hacked platforms, malicious actors, or any kind of criminals, you're good.

True, I don't think there is a factor about that. I mean, is there a case when a coin will not be able to be used just because it came from a non-KYC exchange? I mean, for sure, there are no exchanges that will allow a user to send from an exchange to a different exchange platform because KYC is mandatory right now in all exchanges, even on different platforms, so I think you are good to go. You can use those coins that have been given to you through donations; you don't need to stress yourself out. KYC is very important and mandatory right now, so those who don't comply cannot send any assets or currencies to different platforms. I once tried it, and I can't send anything to another platform. Of course, you cannot risk putting your asset in a non-KYC-verified account because it can be locked up, so it's better to comply.

Well said mate. I don’t think it’s still a must to detect whether the donation is from KYC or non-KYC exchange. After all, whatever it is, the edge is all yours. Whether it’s from a scam or not, the fact that those coins are already inside your wallet, then it’s all yours. Except if you are hesitant to accept it because of your issue, then definitely that will be your loss.

I think you still don't know the answer because if you do, then you won't be here with this thread. And those amount of sats you listed there are not cheap anymore since BTC values have shot up already. To answer your question, I think a huge company such as CEX/KYC-based exchange will always have a special indication on their wallet addresses.

I already read your reason about this and I'd say that you should not worry as long as BTC is legal in your country. They will never restrict you, also as long as you won't do anything that is shady. About segregation, maybe you can put some disclaimer around the donation page about it and you will need to set-up two different wallets for it.

Mixing up KYC and non KYC coins? It's all cryptocurrency. You should really only be worried about receiving coins that come from a darknet market, OFAC sanctioned addresses, or from a OTC russian exchange. That will get your coins locked if you ever move them to an exchange without many hops.

why do you want to separate it? moreover it doesn't mean that you can separate it because bitcoin from cex or from whoever it is, it is still bitcoin and you can't say that it is bitcoin from kyc user or not kyc because you can't tell the difference. it seems that you still don't understand about bitcoin, you should learn bitcoin and how it works.

The donation you're receiving is not a thing of consideration on whether its coming from a KYC exchange or an exchange that does not require for KYC, its not amount all these that determined whether the coins will be suspected or not for illegal financial activities, though i still understand this as part of the reason some will come and tell you they will only make use for decentralized exchanges in other to avoids other shows from a centralized one, but honestly one doesn't have to worry himself from those making donations and from the account they are doing that from.

You try to make some research first whether the addresses belong to exchanges or not. After which, you then make a research as to which exchanges those addresses belong to. Only then can you know whether the exchange requires KYC or not. This is quite easy to know because KYC is normally included in their terms of service.

But if your purpose is to classify your coins according to whether they're coming from KYC or non-KYC exchanges, I don't see a point. Other than the fact that Bitcoin is the same whether they're coming from KYC or non-KYC exchanges, exchanges change their terms and conditions as well. It may be non-KYC today, but it could require KYC tomorrow.

What he is worrying about the chance of Him being monitored by the government as he wanted to have a complete privacy in which I thing
many of us wanted to achieve.
you have your answer mate , though am still confused for your complete reason stated above this post but i will respect that and yeah while I also don't trust government that big but nothing I can do but to follow the rules because I am a citizen .
anyway good luck to your donation business mate , and hope you will grow a lot in keeping those coins and may have privacy in all your spending .
Maybe he already have His answers because never that he posted here again .

If he wants to avoid receiving those donation from a KYC exchange, best way to avoid it is to specifically state it in his website. Let him write a warning telling visitors not to send him Bitcoin from a KYC exchange. It's as simple as ABC.

Most users or website visitor or potential donators/supporters will read it as weird or something illogical IMO. As i said it does not matter if the coin came from exchanges or not, as well as nothing to worry about. Mentioning such thing will probably give potential donators to send you one from KYC exchanges since there's a little way to can tell if it came from where as donation.