Is bitcoin anonymous?

[bbc.reporter]

Like you said bitcoin is pseudo anonymous.  I personally fear the lightning network making bitcoin anonymous.  I've still yet to get a concrete answer whether the Lightning Network actually makes bitcoin truly anonymous or not, but if it does, I worry.  Man countries don't allow their women to drive, vote, or hold many career positions that men do..why on earth are they going to allow an anonymous currency to operate in their country? Of course OTC will always live, but shutting down exchanges could be detrimental to bitcoins future.

I speculate many of the people think similarly because they are scared that bitcoin might not pump and might not make them rich. This is certainly similar to why big oil companies do not want the eletric card technology to develop in the automotive industry. This is backwards thinking and bad for the development of the cryptospace.

In any case, this article might help everyone on understanding bitcoin's anonymity and privacy.

https://sethsimmons.me/posts/comparing-private-spends/

[Boov]

There is generally one reason why bitcoin is sometimes considered anonymous. First, unlike bank accounts and other payment systems, Bitcoin Addresses are not tied to a user's identity at the protocol level. Anyone can generate a new, completely random Bitcoin address (and that includes a private key) at any time, without the need to hand over any personal information to anyone.

This anonymous identity of bitcoin brought more people a huge opportunity that they'll be able to acquire in every aspects of their lives. Convenience is highly appreciated, because we're no longer carrying physical money on our bare hands that's why being anonymous is important if you're a holder of this currency. When talking about money, people seems to be so hot on issues pertaining to cash or whatsoever and basically it's our choice to keep it confidential in order to keep discreet informations safe.

[shoreno]

I think bitcoin will become anonymous if users use bitcoin to send and pay. What I mean is, bitcoin is not converted into fiat on a centralized exchange. and bitcoin storage in a centralized wallet also no longer makes it anonymous. so, depending on how we use bitcoin as anonymous. Correct me if I'm wrong.

bitcoin is already anonymous but only partial . partial because the transaction for bitcoins that didnt go thru btc minxers are traceable . if you often use btc without mixing them  other people can stalk on you but if you only idle your btc there will be no active transactions that people can see  . converting btc to fiat , means you are already using a fiat  . you cant say that the anonimity of btc were remove after you have done that . using centralized exchange or centralized wallet will make your btc anonymous if you use mixers .

[Istiaque]

Bitcoin is anonymous but has become a much better feature for various companies to invest in accepting Bitcoin. bitcoin is used anonymously for this reason not by the government. Bitcoin is a digital currency that is protected by an encryption layer, hence bitcoin is also commonly called cryptocurrency. The money or dollars that we trade with have to be printed, made. Bitcoin is also made but not like normal money because you don't have to print bitcoin. Bitcoin is created by solving huge numbers.

[Sammy9ce]

Bitcoin is not entirely anonymous. In reality, it is pseudonymous because each user has a public address that theoretically could be traced back to an IP address or exchange account through proper network analysis.

A better question is, to what extent is Bitcoin anonymous?

[taufik0911]

What is meant by Anonymous, in my opinion, is that the real name of the wallet user is completely unknown
indeed we can track where the bitcoins are sent but we will never know who owns them
but in my opinion the tracking of transactions will be interrupted when bitcoin has entered the exchanger because when bitcoin enters the wallet exchanger it will be sent back to the main wallet exchanger then if someone withdraws their bitcoins, the one who sends bitcoin is not the wallet that accepts deposit transactions from the exchange but the main wallet from the exchanger

[uneng]

I think bitcoin will become anonymous if users use bitcoin to send and pay. What I mean is, bitcoin is not converted into fiat on a centralized exchange. and bitcoin storage in a centralized wallet also no longer makes it anonymous. so, depending on how we use bitcoin as anonymous. Correct me if I'm wrong.

bitcoin is already anonymous but only partial . partial because the transaction for bitcoins that didnt go thru btc minxers are traceable . if you often use btc without mixing them  other people can stalk on you but if you only idle your btc there will be no active transactions that people can see  . converting btc to fiat , means you are already using a fiat  . you cant say that the anonimity of btc were remove after you have done that . using centralized exchange or centralized wallet will make your btc anonymous if you use mixers .

Or something is anonymous or it isn't. There isn't partial anonymity.
By your description someone can't be anonymous when dealing with bitcoins and actually that is a fact. The adopter can be very strict and cautious, but sooner or later his transactions tracks will reveal the person behind the address(es) and that is something everyone using bitcoins should be aware. Many people tought they were *invisible* transacting bitcoins online and had serious issues with their local tax collectors after some time.

[Globb0]

Do you realy think of bitcoin as anonymous?

can be easily linked to an IP address

and anyway TRANSPARENT LEDGER!

The blockchain keeps track of IP addresses? I ask this because I never heard something like that unless you are saying that a centralized exchange server is holding this data and can provide it, or leak information after a hack. If you don't use exchanges or centralized services there is no IP recorded, or is there with the use of wallets?

Not directly recorded, but at points in different processes the internet protocol is used, so consider it extra potentially linkable data. And you only need to link it once in one place thanks to the nature of bitcoins ledger.

But there are ways to make Bitcoin more private by using mixers, for example.

Here are a few interesting links on chain analysis and decoding mixers data. Add it to the above as well. See what I mean they have a lot of data.

https://research.oxt.me/special-situation-report/1/preview

https://research.oxt.me/special-situation-report/2/preview

[iTradeChips]

In my own understanding, I am really not sure if I cannot treat it as anonymous since people who did bad things in the past and transacting via bitcoin are getting caught. And that's despite the anonymity of Bitcoin and the technologies they use to keep their activity a secret. If exchanges get hacked they were able to immediately see which addresses are involved and possibly it would be a matter of time before they will be able to get the i.p. addresses of their homes and start being tracked by police. There are hackers working for the government so that is a no brainer.

[Mr_Jim_101]

No. BTC is NOT anonymous. Every transaction can be seen on the blockchain.
LE (or anyone else that knows what they are doing ) can "cluster" addresses to see wallets, see walletexplorer.com as an example, (this site is useful as you don't have to type the full address in to search, about 8 digits and it generally finds the address you are after).
After that it's just a matter of tracing (other tx's from/to a wallet) to an exchange and then LE can (I'm led to believe) possibly go for customer data based on adddress and Tx ID.
Also look at companies like Ciphertrace, Elliptic and chainalysis... if you can afford it you can trace virtually anyone.

PS you cannot trace the IP of a transaction, per se.
The Ip addresses seen on raw data on blockchain is the IP of the fiirst NODE to transmit the transaction. (Technically this COULD be the original IP of the originator of the tx , but unlikely unless they are running a full node).
Which is unlikely if your IP is that of your mobile phone provider....

[SATWAT]

Bitcoin as well as each exchange you made likewise anonymous and that is the main motivation behind why crooks use bitcoin to purchase unlawful stuff like medications, weapons. Bitcoin hides your character regardless of where you're and from where you have a place nobody ready to follow you, occasion government can not reach you. I consider it a hindrance to bitcoins.

You are right in this way but this is not happening only with bitcoin peoples involve in crimes doing same things with fiat as well because they are doing this all behind close doors and bitcoin is also doing same thing but as many saying bitcoin is still traceable through IP or some other ways which mean this is not completely anonymous and still authorities can do their duties with this all when they are chasing peoples involve in crimes and unlawful stuff.

[Smartprofit]

Is Bitcoin entirely anonymous? It’s common for people to say that in reality bitcoin is absolutely anonymous but are not knowledgeable enough to know that is pseudonymous . Bitcoin being pseudonymous rather than the assumed anonymous gives us an understanding that each user has a established public address. So that further tells us theoretically bitcoin address can be traced back using an IP address or an exchange account.
We should be more concerned about to what level or extent is bitcoin anonymous ?

Bitcoin is not anonymous, but rather a pseudo-anonymous.  The Bitcoin blockchain is completely transparent.  If you buy a product or service, the seller is informed of the link between you and your Bitcoin address.  A cryptocurrency exchange receives similar information when you withdraw bitcoins to your wallet.  Even if you have not passed the verification on the exchange, it still knows your IP and email address. 

Anonymous cryptocurrency is Monero.

[gwdf1]

It's no secret that you can create any number of public keys (aliases). But can an alias be considered anonymous? Anonymity from the point of view of computer science is simply an unrelated pseudonym.

[Pokapoka124]

Transactions on the blockchain network are visible for all to see. I suggest you use privacy coins like Monero if you care about your privacy.

[Nikole Fischer]

Well, Bitcoin isn't really anonymous. The transactions and addresses are public and people can see them. But it's not directly linked to anyone's personal identity. It means nobody will know how are you, what are you doing and how you looking

[rodskee]

Our transactions are open for viewing so Bitcoin literally is not Anonymous .

and about the Owner of bitcoin? we can be anonymous and we can be not ,depend in how you handle and purchase your bitcoin.

many users are sill anonymous now so it is on our part how to keep in the silence or be broadcasted.

[Debonaire217]

Bitcoin can be 100% anonymous if the user knows how to cover his tracks. However I don't think our society needs 100% anonimity. From my observations the average joe does not care much about privacy. Personally the fact that Bitcoin offers a high level of anonimity when making transactions is simply a bonus on top of the more important features like decentralization.

It may be bitcoin is planned to be anonymous since the creatoe of it remain unseen from the puclic. Although, there are articles that says bitcoin was not developed to be anonymous a lot of consumers of it wants to remain stay hidden. Maybe because they might get scam and lose their money. If we will try to make use of bitcoin in our everyday lives as a mode of payment and all, anonymity is not a thing. Especially if we would compare it to banks. In reality word, there are no anonymity, right?

[XavierLaurent]

It's pseudo anonymous.

[Marvelman]

It's pseudo anonymous.

You think, Sherlock?

After five pages of various comments on this topic, you came here to repeat what was already said in the very first reply from ChiBitCTy.

[Coinsfera]

We can say that Bitcoin transactions are not completely anonymous, but are "pseudonymous" transactions. We can think of this as a less memorable e-mail address. Even if the name at the address is not your real name, someone who specializes in this subject can collect clues and find the real person behind the address.

The system is reliable. But after all, you should consider the possibility of outside intervention, the possibility of your address being copied and seized.

For further information, you can check our blog about this content.

https://coinsfera.com/blog/is-bitcoin-really-anonymous-anonymity-explained