What's the danger of buying Bitcoins with ID from a bank?

[odolvlobo]

... I can't see why uploading ID would be a problem if your not using Bitcoin inappropriately ...

The problem is that it is up to them (with the guidance of the U.S. government) to decide what is appropriate, not you.

For example, here is the official list of activities (supposedly now defunct) which were considered "inappropriate":

   Ammunition Sales
    Cable Box De-scramblers
    Coin Dealers
    Credit Card Schemes
    Credit Repair Services
    Dating Services
    Debt Consolidation Scams
    Drug Paraphernalia
    Escort Services
    Firearms Sales
    Fireworks Sales
    Get Rich Products
    Government Grants
    Home-Based Charities
    Life-Time Guarantees
    Life-Time Memberships
    Lottery Sales
    Mailing Lists/Personal Info
    Money Transfer Networks
    On-line Gambling
    Pawn Shops
    Payday Loans
    Pharmaceutical Sales
    Ponzi Schemes
    Pornography
    Pyramid-Type Sales
    Racist Materials
    Surveillance Equipment
    Telemarketing
    Tobacco Sales
    Travel Clubs

Coinbase has a list like this. If they believe you are involved in any activities on their list, they will file a Suspicious Activity Report on you. They might also ban you.

[1714641270]

1714641270

[1714641270]

1714641270

[anon3001]

  Cable Box De-scramblers
    Coin Dealers
    Credit Card Schemes
    Credit Repair Services
    Dating Services
    Debt Consolidation Scams
    Drug Paraphernalia
    Escort Services
    Firearms Sales
    Fireworks Sales
    Get Rich Products
    Government Grants
    Home-Based Charities
    Life-Time Guarantees
    Life-Time Memberships
    Lottery Sales
    Mailing Lists/Personal Info
    Money Transfer Networks
    On-line Gambling
    Pawn Shops
    Payday Loans
    Pharmaceutical Sales
    Ponzi Schemes
    Pornography
    Pyramid-Type Sales
    Racist Materials
    Surveillance Equipment
    Telemarketing
    Tobacco Sales
    Travel Clubs


wow...lol. Isn't that everything and anything bitcoins can be used for?

[saturn643]

  Cable Box De-scramblers
    Coin Dealers
    Credit Card Schemes
    Credit Repair Services
    Dating Services
    Debt Consolidation Scams
    Drug Paraphernalia
    Escort Services
    Firearms Sales
    Fireworks Sales
    Get Rich Products
    Government Grants
    Home-Based Charities
    Life-Time Guarantees
    Life-Time Memberships
    Lottery Sales
    Mailing Lists/Personal Info
    Money Transfer Networks
    On-line Gambling
    Pawn Shops
    Payday Loans
    Pharmaceutical Sales
    Ponzi Schemes
    Pornography
    Pyramid-Type Sales
    Racist Materials
    Surveillance Equipment
    Telemarketing
    Tobacco Sales
    Travel Clubs


wow...lol. Isn't that everything and anything bitcoins can be used for?

No, that is just a bunch of illegal and sketchy stuff. Bitcoin can be used for everything else that isn't banned and is legit. Bitcoin can be used for everything that fiat can be used for as well. Just so you know, that list doesn't apply just to Bitcoin, it applies to fiat as well. 

[odolvlobo]

  Cable Box De-scramblers
    Coin Dealers
    Credit Card Schemes
    Credit Repair Services
    Dating Services
    Debt Consolidation Scams
    Drug Paraphernalia
    Escort Services
    Firearms Sales
    Fireworks Sales
    Get Rich Products
    Government Grants
    Home-Based Charities
    Life-Time Guarantees
    Life-Time Memberships
    Lottery Sales
    Mailing Lists/Personal Info
    Money Transfer Networks
    On-line Gambling
    Pawn Shops
    Payday Loans
    Pharmaceutical Sales
    Ponzi Schemes
    Pornography
    Pyramid-Type Sales
    Racist Materials
    Surveillance Equipment
    Telemarketing
    Tobacco Sales
    Travel Clubs


wow...lol. Isn't that everything and anything bitcoins can be used for?

No, that is just a bunch of illegal and sketchy stuff. Bitcoin can be used for everything else that isn't banned and is legit. Bitcoin can be used for everything that fiat can be used for as well. Just so you know, that list doesn't apply just to Bitcoin, it applies to fiat as well. 

I don't think you actually read the list. You feel that coin dealers, dating services, firearm sales, money transfer networks, online gambling, pornography, and surveillance equipment are all illegal or sketchy?

[saturn643]

I don't think you actually read the list. You feel that coin dealers, dating services, firearm sales, money transfer networks, online gambling, pornography, and surveillance equipment are all illegal or sketchy?

I read most of it. Probably should have said most of them are illegal and sketchy. But online gambling can be illegal, porn is kinda sketchy, and so is surveillance equipment depending on the equipment being sold. Firearm sales are kinda illegal, depends on the firewarms, and money transfer networks seem pretty sketchy. Coin dealers could be scams and have some sketchiness in them and dating services don't particularly seem safe to me as your date could be dangerous, so kinda sketchy.

[anon3001]

When I purchase my coins via a service that sends the coins direct to my PC wallet, or simply withdraw coins from an exchange, I let them go through Bitmixer first, to get fresh coins in return. This way I don't have to worry about my privacy.


What do you mean by bitmixer? Are you talking about something like blockchain? And how does that help with privacy? What about VPN's? Thanks!

[saturn643]

When I purchase my coins via a service that sends the coins direct to my PC wallet, or simply withdraw coins from an exchange, I let them go through Bitmixer first, to get fresh coins in return. This way I don't have to worry about my privacy.


What do you mean by bitmixer? Are you talking about something like blockchain? And how does that help with privacy? What about VPN's? Thanks!

bitmixer is a coin mixing service. They make it very difficult for someone to trace your coins so it provides anonymity. VPNs and Tor won't help since IP addresses do not have a part in the Bitcoin network.

[foxbitcoin]

When I purchase my coins via a service that sends the coins direct to my PC wallet, or simply withdraw coins from an exchange, I let them go through Bitmixer first, to get fresh coins in return. This way I don't have to worry about my privacy.


What do you mean by bitmixer? Are you talking about something like blockchain? And how does that help with privacy? What about VPN's? Thanks!

bitmixer is a coin mixing service. They make it very difficult for someone to trace your coins so it provides anonymity. VPNs and Tor won't help since IP addresses do not have a part in the Bitcoin network.

VPN and Tor can hide your using IP associated with the transactions since we know some tools can track the IP of transactions then know your location.

[saturn643]

When I purchase my coins via a service that sends the coins direct to my PC wallet, or simply withdraw coins from an exchange, I let them go through Bitmixer first, to get fresh coins in return. This way I don't have to worry about my privacy.


What do you mean by bitmixer? Are you talking about something like blockchain? And how does that help with privacy? What about VPN's? Thanks!

bitmixer is a coin mixing service. They make it very difficult for someone to trace your coins so it provides anonymity. VPNs and Tor won't help since IP addresses do not have a part in the Bitcoin network.

VPN and Tor can hide your using IP associated with the transactions since we know some tools can track the IP of transactions then know your location.

Not true. There is nothing (short of a sybil attack) that can track the IP address that a transaction originated from. Transactions do not contain the IP address of the sender, it is not necessary information. Block explorers like blockchain.info only report the IP address of the node that first relayed the transaction to them, not the IP address from which the transaction originated.