How can a goverment trace you have BTC?

[vachellie]

They may can trace using IP, with that they will know all activity when surfing through internet but they only know activity they will not know suddenly who using that but with enough source from activity, maybe they will know who using that IP.

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[spadaccino]

Bitcoin is not totally anonymous, as a matter of fact its blockchain is visible by everyone and the public wallet also is visible by any goverment agency.

So they can track you down if you're not so smart. That must not happen in the digital world becouse your privacy is not secure enough and you need it if you don't want to be spied.

[nikonova]

They can't. It can;t be traced back to you, That's the beauty with bitcoin and blockchain. You are anonymous.

[aladlanie04]

government can trace  the details which we uploaded to exchange  because exchange's asked for kyc  to verify identity for withdrawl  . same like that buying and selling also from peer to peer , some persons  need proof of verification kyc before u sell ur btc or buy btc from them for cash because some people scam the innocent people.  government can trace the email or ip address or internet also for checking the social media , and email's they will know from where  buying and selling is happening also.

[yj300316]

How can the government discover I own BTC, let's say I'm from Venezuela where crypto is banned, what they can do to discover and arrest me?

I think they cannot trace you. Nowadays, some peoples developed bitcoin mixer so you can use bitcoin anonymously.
If you using bitcoin smart enough, you won't be able to be traced by any peoples in the world.

[jessbaker27]

They can't know. You are anonymous with bitcoin. You can't be track. It is decentralized.

[Jay51]

The government will not easily track you. The government can not track anyone with bitcoin as long as you put your bitcoin in a secured electronic wallet without your identity.

[Kuchiyose]

Many ways to get the government to track who has used Bitcoin with transactions or have expensive items without doing any work

[mak2017]

How can the government discover I own BTC, let's say I'm from Venezuela where crypto is banned, what they can do to discover and arrest me?

I think as long as you use centralized exchanges to trade your bitcoin, highly likely you could be traced.
As long as you don't trade, and have you btc stored at your wallet which you control with private key, tracing you doesn't become that easy.
Still there are numerous ways for government to get whom or what they want, but for us - ordinary people there should be not much to worry about.
As even in Venezuela government has some greater tasks to do, as to trace every single crypto owner.

[Macon Bargeman]

The bitcoin transaction does not reveal identity info. The purchase can be connected to you, only, if the merchant keeps a record of the transaction id connected to a goods receive address. Online goods are sent and the IP address is recorded. In this case any vpn provider can help you to keep IP information out of reach. The bitcoin transaction by itself, does not reveal personal information. Personal information can be revealed by looking for other data that are connected to the transaction.

[Sakira72]

Yeah right guys, the government will be able to track transactions with BTC you make when you cashing it on payment processing in your country.

[Wild_Potato]

Yeah it all depends on how you use it, and what for. If you're signing up for exchanges, the government could theoretically approach that exchange and demand records of all who are registered from their country. But then what are they going to do? Knock on everyone's doors and shake them upside down until all the bitcoins fall out of their pockets

The thing I wonder about is when these exchanges are going to be forced to report to the tax authorities, like PayPal and eBay were several years ago. People used to make lots of tax-free money selling stuff on these sites, but I wouldn't dare now. Anything that goes through PayPal is definitely being sent to the tax authorities, at least in western countries. How long until major exchanges are forced to do this as well?

[stefy77]

They set up KYC on purpose, citing other excuses. They want to get to complete and global tracking.

[A Feeder]

Nowadays it's easy to other especially to government to trace if you have a bitcoin because our technology is hi-tect, just search what you want to know and it show you and you get information by tracking down our wallets, verifying with your original address and photo and your real account.

[Fourgh]

How can the government discover I own BTC, let's say I'm from Venezuela where crypto is banned, what they can do to discover and arrest me?

it can't. Bitcoin is being managed in the blockchain and transactions are booked or being recorded, not your BTC address or not even your identity. All they can see is just the transaction history which is very discreet if you ask me.

[maihoa156515@gmail.com]

Your Bitcoin will not be discover by the government because it is decentralize that is why other nation is against of Bitcoin existence but still your transaction will be trace every time you will convert your Bitcoin to fiat in your local exchanges as per government regulation policy

[12tribes]

The transactions on an exchange for example can be traced to a particular IP address which is a peculiar gate way or access by certain codes for any member or citizen of the country. This certainly requires high powered super computers with the ability to carry out trace inquiries on a grand scale using modern and fast technology. It is overall possible.

[Pan Troglodytes]

Yeah right guys, the government will be able to track transactions with BTC you make when you cashing it on payment processing in your country.

Yes this is why they introduced all those KYC and AML regulations, to be able to track people and make them pay taxes. But it is still possible to go under radar, it requires some determination and knowing what one is doing, but it is definitely possible.

[rakesh6162]

Government can be able to track that you have BTC if the investor of Bitcoin submitting the documents for KYC like international passport national id card or Drivers lience to the related exchange. Government have very sound system of internate tracking or hacking to see and check the same as cited above. Many exchanges required your phone number or valid id proof to open an account. Government can use that to trace you down if you have cash out without paying govt. taxes.

[altercreed]

They can only trace it through the blockchain transaction being made but the problem is, they can only see the addresses on it. Not unless if they know your btc address only they know whether you have bitcoin or not as to the amount of bitcoin going in and out of your wallet.