Can crypto assets be swapped anonymously?

[Lucius]

If your crypto wallet isn't linked to your identity or known to government authorities,you might be able to avoid any questions from tax man by cashing out through Bitcoin ATM. In some EU countries you can ATM-exchange up to ~ €990 per transaction without needing to go through KYC checks. What's more, many of these ATMs don’t limit the number of sequential transactions you can make during one visit ^{just use different addresses for each transaction} meaning you could break down the larger amount into smaller chunks and exchange them one after another. Europe isn’t that big, so if your local country enforces stricter rules traveling to the neighboring country with more lenient ATM regulations could be the practical workaround.

This is working for now, but it doesn't seem like it will for much longer. Apparently, by the end of the year, this type of trading should be a thing of the past. It's not just about crypto ATMs, there are even physical crypto exchanges where such transactions can be made.

I started with 20k euros 1 year ago and now the account is at 50k euros. I believe I can hit 80k or more after the summer here.
And I aim to increase this portfolio every year.
It is not a lifechanging amount of money yet, but with good management it can certainly become just that.

You obviously knew what the tax policy was in your country, so you should have thought about how you would make a profit - now you are in an awkward situation because you don't want to pay tax on your profit, but you still want to sell. You have already received some advice, but perhaps it is best to seek professional help.

~snip~
I consider not selling my first 0.25 BTC purchase, but that is like agreeing to let 35k euros worth of value (I expect BTC to hit 150k this year) all the way back to 15k at the bottom of the bear market next year.

You're pretty confident that's exactly what's going to happen - but I personally don't believe we'll ever buy BTC at $15k again - because if that happens it will mean we'll never see $100k again. You are not talking about a correction here, but about an almost complete failure in terms of investor confidence.


By the way, posting multiple posts in a row is not allowed by forum rules.

[Dogedegen]

This is working for now, but it doesn't seem like it will for much longer. Apparently, by the end of the year, this type of trading should be a thing of the past. It's not just about crypto ATMs, there are even physical crypto exchanges where such transactions can be made.

No, this is not correct. The rules for businesses are not relevant, because already most of these transactions are done OTC and then will continue to be done this way. ATMs have been too limited for a long time.

You're pretty confident that's exactly what's going to happen - but I personally don't believe we'll ever buy BTC at $15k again - because if that happens it will mean we'll never see $100k again. You are not talking about a correction here, but about an almost complete failure in terms of investor confidence.

Yes, I don't know why he is expecting an even bigger crashes as Bitcoin continues to mature.

You can remain invisible to the tax inspector if you trade exclusively on DEX, which do not require verification. But the moment you decide to withdraw your cryptocurrency to a bank card, the tax authorities will know about your money. There is an option to use cryptocurrency withdrawal services through an intermediary, when you transfer cryptocurrency to his wallet, and he gives you cash in your hands.

Just don't withdraw to a bank account. It is as simple as that. You can even deposit small amounts of cash to your bank account regularly and you won't have any issues.

[Lucius]

This is working for now, but it doesn't seem like it will for much longer. Apparently, by the end of the year, this type of trading should be a thing of the past. It's not just about crypto ATMs, there are even physical crypto exchanges where such transactions can be made.

No, this is not correct. The rules for businesses are not relevant, because already most of these transactions are done OTC and then will continue to be done this way. ATMs have been too limited for a long time.
~snip~

I have different information, because all EU member states should comply with all AML regulations - because it is not very logical that in one country you cannot do anything without KYC, and in another you can easily sell/buy 1000 EUR of cryptocurrency per transaction. This has clearly caught the eye of some institutions who want to put an end to it. It remains to be seen whether all EU member states will obey orders from Brussels, or whether they will continue as before.

[Dogedegen]

This is working for now, but it doesn't seem like it will for much longer. Apparently, by the end of the year, this type of trading should be a thing of the past. It's not just about crypto ATMs, there are even physical crypto exchanges where such transactions can be made.

No, this is not correct. The rules for businesses are not relevant, because already most of these transactions are done OTC and then will continue to be done this way. ATMs have been too limited for a long time.
~snip~

I have different information, because all EU member states should comply with all AML regulations - because it is not very logical that in one country you cannot do anything without KYC, and in another you can easily sell/buy 1000 EUR of cryptocurrency per transaction. This has clearly caught the eye of some institutions who want to put an end to it. It remains to be seen whether all EU member states will obey orders from Brussels, or whether they will continue as before.

Your information is wrong or we are talking about different things. I am talking about OTC peer to peer transactions, there are no rules in that field. Who would apply any rules and how would they enforce them except through some system of an Orwellian nightmare?

There are plenty of reputable people with long history who provide these kinds of services, you just need to search long enough. Actually, these kinds of services are now readily available in any country in the world including those where cash may be harder to get. The networks of transaction brokers are getting more connected as crypto continues maturing. Of course there is an initial risk of being scammed until you find reputable providers, but that is the classic tale of the cryptocurrency space. High risk and high reward.

[Lucius]

Your information is wrong or we are talking about different things. I am talking about OTC peer to peer transactions, there are no rules in that field. Who would apply any rules and how would they enforce them except through some system of an Orwellian nightmare?
~snip~

Yes, it seems like we are talking about two different things - of course, no one can forbid someone from doing OTC. I'm talking about public services (crypto ATMs, physical exchange offices, issuers of virtual crypto cards) that are easily accessible to everyone, while on the other hand it is not easy for the average person to find someone with whom to do OTC transactions.

The EU wants strict rules when it comes to cryptocurrencies, and after the US under the new president opted for the crypto wild west, it seems to me that the EU has even greater motivation to become even more hostile towards that sector.