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Author Topic: Too dumb to undrstand  (Read 604 times)
peterpan2k (OP)
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July 25, 2020, 01:13:30 AM
Merited by o_e_l_e_o (2), vapourminer (1), nutildah (1)
 #1

Hey guys/gals, maybe I'm too dumb to understand how BC really works, but I just signed-up on a BC site and before I can purchase a few coins, I was asked for all my REAL information, including last 4 of my SS#, address, and even a bank account to link my BC account to! So I'm scratching my head, "how can this be anonymous" they know everything about me and if I buy anything using that BC account, I just opened, it'll be just as transparent as buying w/ cc lol. Again please forgive my ignorance, but can someone briefly explain how can any transaction from a BC account be anonymous, if they collect every piece of information about you before allowing you to open an account! Thanks!
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July 25, 2020, 01:24:43 AM
 #2

Well, it is anonymous till date, but it's anonymous on its transactions. The fact that your account creation was littered with KYC wasn't really the fault of Bitcoin, but rather the fault of the company behind the exchange you're creating your account. (I'm assuming BC is BTC kay?). There are other exchanges out there that let you create an account without any KYC and let you transact BUT after a certain limit has been met, then you need to provide your information to them, an example would be Binance. There are also DEX's that don't require you to KYC as well as P2P trading which probably requires escrow service to ensure secure transactions.

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July 25, 2020, 01:34:47 AM
 #3

You can always buy bitcoin on somewhere else with no kyc, maybe here or some website like localbitcoins

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July 25, 2020, 01:35:34 AM
Merited by vapourminer (1)
 #4

Bitcoin is not anonymous per se, it's psuedo anonymous.

Exchanges now are requiring you to submit your personal info to adhere with KYC (Know-Your-Customer) policies. And if we are still with traditional systems like banks to purchase BTC we need to fulfill the requirements.

Also there is a FATF guidelines, https://www.fatf-gafi.org/publications/fatfrecommendations/documents/guidance-rba-virtual-assets.html

R


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July 25, 2020, 01:47:31 AM
 #5

One thing is for sure, avoid that website and choose an alternative. Because IMHO, that was too much for a KYC. Giving your name, address or even your contact number is reasonable but asking for your bank account is beyond the limits already. May I ask what website you signed in? For us to verify if it was legit/reputable or not.

I understand if you feel uncomfortable right now. Good thing you seek advice here first Smiley.
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July 25, 2020, 02:00:28 AM
 #6

Thank you all for the the info. Looks like I have to do some more research on the subject and educate myself on it. The site in question is called "coinbase". But here's another one for you... If I'm to get cryptocurrency online, I'm obviously not paying cash for it, so whether the purchase is made through company abc or xyz, they'll have my info, (i.e. my cc or PayPal, etc...) IOW, that's a traceable coz that how I'll most likely end up paying for these coins... Cheers!
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July 25, 2020, 02:05:30 AM
 #7

First of all, it's BTC not BC and denoted by BTC sometimes.
Since you said you have choosen coinbase, you have to verify your identity before you start buying BTC. And yes, you can be traced easily if you use centralized services to buy/sell bitcoin. Better you use p2p method to avoid your identiry to be leaked.

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July 25, 2020, 02:35:31 AM
 #8

Expect that KYC must be complete on some exchanges especially local wallets or exchanges so you can convert your BTC into your local currency.

There's plenty of exchanges that don't require KYC but have limited features like a limited amount of money to withdraw or deposit.

Also, take note that BTC is not anonymous, they can still trace your transactions and can see your balance in the blockchain. Like what @TravelMug said, it's pseudonymous, not anonymous.
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July 25, 2020, 03:04:01 AM
 #9

Ok, I just tried signing up for binance, but it directed me to US site and asked to register there! At the reg page it says I have to prove to them that I'm a US citizen, which means they want my full info lol. Furthermore, even I go through the reg phase, how would I pay for btc's? Again, they'll have all my bank info! So back to ground zero Smiley what's the advantage of cryptocurrency if my transactions are transparent and my real info is traceable! To me you can either conduct a transaction anonymously or you can't. pseudo-anonymous, doesn't mean anything. Not that I'm trying to do anything crazy here, all I'm trying to do is a buy a stupid vpn service and pay for it in cryptocurrency, so we're only talking about $50 or $100, if at all. Thanks.
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July 25, 2020, 04:26:08 AM
 #10

So I'm scratching my head, "how can this be anonymous" they know everything about me...

This is not about whether or not Bitcoin is anonymous. This is not even about Bitcoin. You don't have a Bitcoin yet, do you? All you have is fiat. That is the problem. You are going to buy Bitcoin with fiat. And because all you have is fiat, you cannot easily spend it without revealing some personal information. This is fiat's problem.

If you don't want to transact using CC or Paypal or bank deposit or remittance services or even cash because that would mean revealing your entire person, then I don't know how you would be able to spend that fiat. Try searching within your local city or town if there is a Bitcoin ATM nearby. 

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July 25, 2020, 04:26:10 AM
Merited by o_e_l_e_o (2)
 #11

you are confusing bitcoin with the websites/services.

when you sign up to use a website/service such as Coinbase, Binance,... you are subjected to the rules of those websites. this has absolutely nothing to do with bitcoin. it is your choice to use them and give up your KYC,... and let them track you.

otherwise using bitcoin doesn't need any of these sites and doesn't require KYC or anything like that. it is 100% peer to peer.
part of the problem is that you have fiat and want to dump that for bitcoin. so you are subjected to fiat laws.

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July 25, 2020, 04:29:11 AM
 #12

Ok, I just tried signing up for binance, but it directed me to US site and asked to register there! At the reg page it says I have to prove to them that I'm a US citizen, which means they want my full info lol. Furthermore, even I go through the reg phase, how would I pay for btc's? Again, they'll have all my bank info! So back to ground zero Smiley what's the advantage of cryptocurrency if my transactions are transparent and my real info is traceable! To me you can either conduct a transaction anonymously or you can't. pseudo-anonymous, doesn't mean anything. Not that I'm trying to do anything crazy here, all I'm trying to do is a buy a stupid vpn service and pay for it in cryptocurrency, so we're only talking about $50 or $100, if at all. Thanks.

Binance US requires stringent KYC, and it's only Binance US that requires that. I'm from SEA and I didn't really encounter any problems with that, so in your case, Binance may not be the get to go since it redirects you to the US site. Probably try and look up exchanges that don't require KYC in the US. Psuedoanonymous doesn't really reveal your real info. It just shows the wallet the coins were from in a transaction, and they can't really connect any real information from that transaction to you, that is unless the exchange you went on requires KYC. If CEX's don't really work out for you, try looking for DEX that you can easily access.

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July 25, 2020, 04:45:39 AM
 #13

Thank you guys. Ye all are truly amazing! I really appreciate the education! I have signed up for localcoinswap so I guess now I have to find someone "trustworthy" to send him/her $ and hope that they'll deposit the equivalent bitcoins into my localcoinswap account/wallet. It's a "coin toss" really...coz I can send the $ through say "western union" to someone, they get the dough and never deposit the coins in my wallet! Is there any way to minimize my risk here? Thanks
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July 25, 2020, 05:00:31 AM
 #14

Thank you guys. Ye all are truly amazing! I really appreciate the education! I have signed up for localcoinswap so I guess now I have to find someone "trustworthy" to send him/her $ and hope that they'll deposit the equivalent bitcoins into my localcoinswap account/wallet. It's a "coin toss" really...coz I can send the $ through say "western union" to someone, they get the dough and never deposit the coins in my wallet! Is there any way to minimize my risk here? Thanks

Actually, it's hard to say that all your transactions will be smooth but if you are using localcoinswap, you can check the thumbs up they have.
The more thumbs up, the better. I guess.
And also, they have secure escrow protection, so at least relatively safe.
But you can check other crypto exchanges that don't require KYC like crex or unnamed.
Depends on which coin you want to trade as they have their own list of trading pairs.
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July 25, 2020, 05:14:52 AM
 #15

Will do. Thank you!
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July 25, 2020, 05:23:43 AM
 #16

Is there any way to minimize my risk here? Thanks
The platform is using "escrow" in which it minimizes the risk of losing your fiat while doing an exchange. The website also have numerous P2P account where it reflects "Verified" and "Professional Trader". Not only that, it also shows how many "likes" the buyer/seller he/she got from trading with other people.

As far as I know, you can have a conversation to the seller upon accepting your offer. That is how the trade goes like when I used P2P marketplace of Binance even though it requires to me to have KYC. LOL

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joniboini
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July 25, 2020, 05:42:44 AM
 #17

If you're still concerned with your privacy when doing P2P, maybe decrease the exposure of your CC/card with something like Privacy or any other services. It would be even better if your bank support creating virtual disposable card to spend your money.

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July 25, 2020, 07:25:53 AM
 #18

Those are the verifications to your wallet and set up because nowadays most of the platform right now requires to have a KYC to verify their customers and avoid getting spam to their database and information. Now let's that to the main question of OP how does the bitcoin becomes anonymous and this is the reason because every time you make a transactions/txs you have a specific bitcoin address and this your key to send and receive funds now in every person who holds bitcoin now has this address and some of them had multiple addresses if you want to make anonymously to your funds you can use the bitcoin mixer we have the different mixer on the internet like the blender.io and the chipmixer I hope this will help you this is the simplest way I can explain how does the bitcoin become anonymously.

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July 25, 2020, 07:39:01 AM
 #19

Yes it would mean that your transaction is not anonymous since that site will be able to trace your transactions and find out that it was you.
To buy bitcoin anonymously you will have to buy it from an exchange which offers peer to peer services without KYC.
For example, localbitcoins offer peer to peer transactions without KYC but then too you will have to provide your account details where you want to receive your money. You can also make transactions using cash and can meet a trader locally and offer him cash for bitcoins but then you will have to hide your identity if you want to be completely anonymous. Other than that there is no other way around.
When dealing with bitcoin to fiat this is only disadvantage. May be in future there will be a payment system which will allow to send fiat money anonymously.

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July 25, 2020, 09:21:57 AM
 #20

In what website you have signed up with those information? BTC is the acronym of bitcoin just for that little correction. The exchange or website you have registered asks for KYC and usually you can avoid that with other wallets if you want to buy bitcoin.

Just choose the exchange where they are not requiring you KYC. You can create wallets that won't ask for your information, electrum for example. But if you use a local exchange and they ask for KYC and you don't like it, look for someone to do a p2p transaction in your place.

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