Bitcoin anonymity

[errornone]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

[harrymmmm]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

[Sefton]

It's only possible if you share the addresses by spend-linking, but if you send lots of money from one address to the other then people will likely be able to work it out. There's even a feature on blockchain.info which shows likely addresses that belong to you I believe.

[Amph]

if your income arrive from mining you're pretty safe in the anonymous regard, but bitcoin remain pseudo anon, you need to work a little to make it more anon

a good way is to have your initial amount divided in many addresses , so at best they can match only one with you, and never know that every one of those addresses belong to you

but aside from this in the event that they can associate an address with you, they don't know who you are, so it does not matter much

[BillyBobZorton]

You could share a master public key instead of a lot of different address, i think it's way more convenient because that way when they pay you they generate a new address each time. For some reason this practice is not common. I think it should be the standard for people receiving payments on the same address for a while including people in sig campaigns.

[errornone]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please  

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automatically exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

[Somekindabitcoin]

If you want to stay anonymous with transactions use http://bitmixer.io and always make sure you are on BITmixer not BTCmixer.

[shorena]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automating exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

Thats not possible. There is no "from address", but blockchain explorers show it that way. The "from" address is the address you previously received bitcoin on and now want to spend. You cant just change the transaction someone else made for you in hindsight. If you want to avoid that inputs from different addresses are used you need to use a wallet (e.g. bitcoin core with coin control enabled) that allows you to select the inputs used yourself. That way you can use inputs that have been received by a single address and thus only this address shows as the "from" address on a blockchain explorer.

[harrymmmm]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automating exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

Thats not possible. There is no "from address", but blockchain explorers show it that way. The "from" address is the address you previously received bitcoin on and now want to spend. You cant just change the transaction someone else made for you in hindsight. If you want to avoid that inputs from different addresses are used you need to use a wallet (e.g. bitcoin core with coin control enabled) that allows you to select the inputs used yourself. That way you can use inputs that have been received by a single address and thus only this address shows as the "from" address on a blockchain explorer.

Yup.

But that's more like ELI10 i figured

[everaja]

It is always not anonymous like you think , When you have a wallet filled with change addresses, transactions will be forced to use some of those change addresses to fill transactions you want to make. The fact that the receiver is the same, and that the time of transaction is the same means that an outside observer will have a high confidence that those addresses belong to the same person. If all of those addresses only received bitcoins from a single address, it will be very clear they are change addresses for that address.
This is not necessarily a bad thing, as the tracability of transactions will make it harder.

[errornone]

If you want to stay anonymous with transactions use http://bitmixer.io and always make sure you are on BITmixer not BTCmixer.

I just want to fully understand bitcoin. Just to know the rules perfectly and play safe.

I am not in pursuit of anonymity. Just want to know the "limits and the borders of this ship".

[errornone]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automating exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

Thats not possible. There is no "from address", but blockchain explorers show it that way. The "from" address is the address you previously received bitcoin on and now want to spend. You cant just change the transaction someone else made for you in hindsight. If you want to avoid that inputs from different addresses are used you need to use a wallet (e.g. bitcoin core with coin control enabled) that allows you to select the inputs used yourself. That way you can use inputs that have been received by a single address and thus only this address shows as the "from" address on a blockchain explorer.

hmmmm, now i think i get it.

Transactions must have inputs, so if i use different addresses for every transaction, the inputs will be there to compromise me, every time. Is this correct?

Thank you for that post

[everaja]

If you want to stay anonymous with transactions use http://bitmixer.io and always make sure you are on BITmixer not BTCmixer.

Bitcoin Mixing can help you to achieve high level of anonymity , you send your money to an anonymous service and, if they are well-intentioned, they will send you someone else's tainted coins to you.


Through Mixing is is really good way but high volume mixing of bitcoins is Dangerous as the bixing company can Scam you , moreover Bitcoin transaction is irreversible.

[QuestionAuthority]

As bitcoin developer Jeff Garzik put it, "Attempting major illicit transactions with bitcoin, given existing statistical analysis techniques deployed in the field by law enforcement, is pretty damned dumb."

[Somekindabitcoin]

If you want to stay anonymous with transactions use http://bitmixer.io and always make sure you are on BITmixer not BTCmixer.

Bitcoin Mixing can help you to achieve high level of anonymity , you send your money to an anonymous service and, if they are well-intentioned, they will send you someone else's tainted coins to you.


Through Mixing is is really good way but high volume mixing of bitcoins is Dangerous as the bixing company can Scam you , moreover Bitcoin transaction is irreversible.

Bitmixer.io won't scam anyone ( If they don't get hacked ) I transacted over 10 BTC in one TX and everything went well. I tried to find the sending address through my final transaction and I wasn't able to do it.

[DarkHyudrA]

The only way someone could be totally anonymous is making a transaction with a newly generated block transaction, and of course, nobody knew the receipt neither that you generated the block.

Mixers aren't enough, it may take time to get to the right point in discovering the destination of the bitcoins, but if people really want to track down, it's just a matter of time.

[everaja]

If you want to stay anonymous with transactions use http://bitmixer.io and always make sure you are on BITmixer not BTCmixer.

----Snip---

Bitmixer.io won't scam anyone ( If they don't get hacked ) I transacted over 10 BTC in one TX and everything went well. I tried to find the sending address through my final transaction and I wasn't able to do it.

I am not saying that they will scam you for sure but dude i have seen enough here legit people turning into black hole, Moreover It just a suggestion , even i have Doubled my BTCs on coinsdouble and they have legitly Paid me but it snot the same mirror for others too.

You Must Check it : https://bitcointalk.org/index.php?topic=83794.0

[shorena]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please 

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automating exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

Thats not possible. There is no "from address", but blockchain explorers show it that way. The "from" address is the address you previously received bitcoin on and now want to spend. You cant just change the transaction someone else made for you in hindsight. If you want to avoid that inputs from different addresses are used you need to use a wallet (e.g. bitcoin core with coin control enabled) that allows you to select the inputs used yourself. That way you can use inputs that have been received by a single address and thus only this address shows as the "from" address on a blockchain explorer.

hmmmm, now i think i get it.

Transactions must have inputs, so if i use different addresses for every transaction, the inputs will be there to compromise me, every time. Is this correct?

Thank you for that post

Yes and no. If your wallet picks inputs for you it might pick inputs than have been received via different addresses. E.g. if you want to spend 1 BTC to Alice and have 5 possible inputs to use sorted by age (oldest first):
- identifier - size (in BTC)
- 1B01... - 0.6
- 1B02... - 0.7
- 1B03... - 0.3
- 1B04... - 5.0
- 1B05... - 1.5

Your wallet might use the oldest inputs first, because that would give your TX a high priority (different topic, but its used to get TX with no or low fee confirmed). It would use 1B01 and 1B02, send 1 BTC to alice (1A01) and the rest (assume no fee for simplicity) 0.3 back to you as change (1B06). Now it is reasonable to assume for someone that sees this TX that you are in control of 1B01 and 1B02. On top of that Alice also knows that 1B06 is yours. Others might guess this if they know more about you and/or Alice and/or the transaction that took place.

If you yourself pick the inputs you could use 1B04 or 1B05 and you still have the "problem" with the change, but since you only use a single input it does not give away information about other addresses that are part of your wallet. A change address is for most wallets a freshly generated address so it would have no history either and would be a fresh input.

As you can see you will eventually run into the problem that you have no input that is large enough to avoid linking inputs. In this case you have to use a mixer or something else in order to move different inputs to a single new address.

You might now think that this could be avoided if you only ever used a single address. Which is true, but that also means that there is a single address that can be checked on any block explorer and anyone knows how much bitcoin you have, where they come from and where they go. Essentially it makes it worse.

[errornone]

If i use a different bitcoin address for every transaction, it is still possible to correlate my addresses?

If i leave one address here in my signature (for tip, lets say) and this address only serves this purpose, i will never use it in any other transaction; it is possible to correlate it with other of my addresses?

I am reading that bitcoin is not so anonymous like people think it is, BUT what are the possible falws here? I know that every transaction is public, but if "they" cant correlate transactions/addresses with each other, they have nothing, right?

Explain like i am five please  

Thank you

When you make a transaction, change goes back to an address controlled by you. That address might be used later by your wallet in another transaction. See how they are connected?
It only needs for one transaction you make to tie your name to it ....

If this is the problem, the wallet would control this by automating exclude addresses already used! Every transaction MUST use a new address.

What am i missing here?

Thats not possible. There is no "from address", but blockchain explorers show it that way. The "from" address is the address you previously received bitcoin on and now want to spend. You cant just change the transaction someone else made for you in hindsight. If you want to avoid that inputs from different addresses are used you need to use a wallet (e.g. bitcoin core with coin control enabled) that allows you to select the inputs used yourself. That way you can use inputs that have been received by a single address and thus only this address shows as the "from" address on a blockchain explorer.

hmmmm, now i think i get it.

Transactions must have inputs, so if i use different addresses for every transaction, the inputs will be there to compromise me, every time. Is this correct?

Thank you for that post

Yes and no. If your wallet picks inputs for you it might pick inputs than have been received via different addresses. E.g. if you want to spend 1 BTC to Alice and have 5 possible inputs to use sorted by age (oldest first):
- identifier - size (in BTC)
- 1B01... - 0.6
- 1B02... - 0.7
- 1B03... - 0.3
- 1B04... - 5.0
- 1B05... - 1.5

Your wallet might use the oldest inputs first, because that would give your TX a high priority (different topic, but its used to get TX with no or low fee confirmed). It would use 1B01 and 1B02, send 1 BTC to alice (1A01) and the rest (assume no fee for simplicity) 0.3 back to you as change (1B06). Now it is reasonable to assume for someone that sees this TX that you are in control of 1B01 and 1B02. On top of that Alice also knows that 1B06 is yours. Others might guess this if they know more about you and/or Alice and/or the transaction that took place.

If you yourself pick the inputs you could use 1B04 or 1B05 and you still have the "problem" with the change, but since you only use a single input it does not give away information about other addresses that are part of your wallet. A change address is for most wallets a freshly generated address so it would have no history either and would be a fresh input.

As you can see you will eventually run into the problem that you have no input that is large enough to avoid linking inputs. In this case you have to use a mixer or something else in order to move different inputs to a single new address.

You might now think that this could be avoided if you only ever used a single address. Which is true, but that also means that there is a single address that can be checked on any block explorer and anyone knows how much bitcoin you have, where they come from and where they go. Essentially it makes it worse.

Thank you for this nicely explained post.


Monero has the solution for this? If yes, it probably will rise fast and become a serious contender.

[QuestionAuthority]

User A -> illegal drug money -> tumbler

User B -> illegal Ponzi money -> tumbler

User C -> terrorist financing -> tumbler

Tumble - Tumble - Tumble

Tumbler -> User A = illegal Ponzi money and terrorist financing

Tumbler -> User B = illegal drug money and terrorist financing

Tumbler -> User C = illegal drug money and illegal Ponzi money

User A, B, C -> Coinbase

Coinbase = Sorry we've confiscated your bitcoins because they were blacklisted.

LOL