Control of wallets with a balance of $10,000 or more in the USA when buying good

[zasad@]

https://www.dlnews.com/articles/regulation/crypto-privacy-battle-started-by-words-inserted-in-2021-law/
In 2024, US businesses will have to collect the name, address, and government ID of anyone who uses more than $10,000 crypto to buy stuff.
Crypto think-tank Coin Center sued the government, arguing the rules equate to illegal financial surveillance.
A judge recently tossed the lawsuit, saying it wasn’t ripe. Coin Center has appealed the decision.
Time is running out for the crypto industry to fight a new law that will force US businesses to collect personal information on people who use digital assets worth more than $10,000 to buy stuff.

The new rules will snap into action on January 1, 2024.

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[Poker Player]

I do not find this surprising. It is in line with AMLs policies in general. What I also believe is that these thresholds will be lowered over time, in the same way that cash payment limits have been lowered, or the limits above which bank transactions are reported to the IRS or equivalents in other countries. The public authorities want cashless societies and totally controllable, economically speaking, and they move towards that path little by little, slowly boiling us like a frog that does not realize it.

[Husires]

I do not think that anyone who buys or trades bitcoin for $10,000 will refuse to compete basic KYC verification. Whoever wants to buy bitcoin without spending it does not require to pay tax or prove his identity, but when he wants to sell, he will be asked for it.

Data such as the name, address, and government ID are data that some give to social networking applications such as Facebook, (which are known for selling data) in exchange for his page to return to work or to restore the Instagram account.
Tax evasion is a crime and many would be afraid not to try to tell the authorities what they have in Bitcoin.

[zasad@]

I do not think that anyone who buys or trades bitcoin for $10,000 will refuse to compete basic KYC verification. Whoever wants to buy bitcoin without spending it does not require to pay tax or prove his identity, but when he wants to sell, he will be asked for it.

Data such as the name, address, and government ID are data that some give to social networking applications such as Facebook, (which are known for selling data) in exchange for his page to return to work or to restore the Instagram account.
Tax evasion is a crime and many would be afraid not to try to tell the authorities what they have in Bitcoin.

In the US, you are required to declare your purchases of cryptocurrencies and pay tax on capital gains and tax on the sale of cryptocurrencies.
But I know that in Miami you can exchange cryptocurrencies for cash dollars without asking private money changers. Therefore, not everyone is afraid of the tax, or only tourists do it. I don't know.

[Husires]

In the US, you are required to declare your purchases of cryptocurrencies and pay tax on capital gains and tax on the sale of cryptocurrencies.
But I know that in Miami you can exchange cryptocurrencies for cash dollars without asking private money changers. Therefore, not everyone is afraid of the tax, or only tourists do it. I don't know.

Apart from bitcoin and cryptocurrencies, trading amounts of more than $10,000 falls under anti-money laundering laws and sometimes leads to closing your bank account, it does not require special legislation for each state, but this amount varies according to the type of your account and according to the state or country.

https://www.irs.gov/newsroom/understand-how-to-report-large-cash-transactions

Although many cash transactions are legitimate, the government can often trace illegal activities through payments reported on complete, accurate Forms 8300, Report of Cash Payments Over $10,000 Received in a Trade or BusinessPDF. Here are facts on who must file the form, what they must report and how to report it.

What confuses me is everyone who knows that the total bitcoin in my wallet are equal to 10,000. it will be possible for the transactions, but without disclosure from the user, it is difficult to know the amount of bitcoin in your wallet.

[zasad@]

In the US, you are required to declare your purchases of cryptocurrencies and pay tax on capital gains and tax on the sale of cryptocurrencies.
But I know that in Miami you can exchange cryptocurrencies for cash dollars without asking private money changers. Therefore, not everyone is afraid of the tax, or only tourists do it. I don't know.

Apart from bitcoin and cryptocurrencies, trading amounts of more than $10,000 falls under anti-money laundering laws and sometimes leads to closing your bank account, it does not require special legislation for each state, but this amount varies according to the type of your account and according to the state or country.

https://www.irs.gov/newsroom/understand-how-to-report-large-cash-transactions

Three years ago, there were more than 5,000 banks in the United States, and now there are more than 4,500. Although the number of banks is declining, it still provides excellent conditions for fraudsters to issue a lot of bank cards for drops and not exceed the exchange limits in each bank.
For successful work, it is enough not to exceed the limits on a bank account.

[yhiaali3]

What confuses me is everyone who knows that the total bitcoin in my wallet are equal to 10,000. it will be possible for the transactions, but without disclosure from the user, it is difficult to know the amount of bitcoin in your wallet.

Surely this will be known by the user himself, unless you announce the amount of Bitcoin in your wallet, no one will be able to know it, but if it is discovered, it will be considered a legal crime and a kind of tax evasion.

I do not know if all wallets will be monitored, but I expect that this law is mainly directed at centralized exchanges, as they must provide name, address, and government ID information for anyone using the exchange, this information will be available to the government, as a tax will be imposed on all people who buy things of value more than $10,000 in cryptocurrency.

[bitmover]

I do not know if all wallets will be monitored, but I expect that this law is mainly directed at centralized exchanges, as they must provide name, address, and government ID information for anyone using the exchange, this information will be available to the government, as a tax will be imposed on all people who buy things of value more than $10,000 in cryptocurrency.

It is not trivial to monitor wallets.

Addresses from the same wallets aren't linked natively. Only when spending different outputs from different addresses in the same transaction someone can be sure they are of the same wallet.

So , if you are careful people won't now what addresses  are really from your wallet.

[zasad@]

It is not trivial to monitor wallets.

I agree.
There are many questions about the credibility of the conclusions of companies that are engaged in analytics of transactions in the blockchain.

https://cointelegraph.com/news/cipher-trace-expert-says-chainalysis-data-contributed-wrongful-arrest-alleged-bitcoin-fog-founder
"CipherTrace expert says Chainalysis data contributed to ‘wrongful arrest’ of alleged Bitcoin Fog founder
CipherTrace’s director of investigations and intelligence says data provided to the government by Chainalysis cannot be verified and should not be admissible in court."

[Husires]

So , if you are careful people won't now what addresses  are really from your wallet.

If you do not run a full node yourself, a third party will know that you have addresses belonging to the same wallet, and this third party may sell the data to government or third parties. privacy is not an easy matter, especially since it may result in charges such as tax evasion.

CipherTrace’s director of investigations and intelligence says data provided to the government by Chainalysis cannot be verified and should not be admissible in court."

I do not think so, as it, like any data obtained from Google or Apple, and even the United States has cooperation agreements with Chainalysis, it is true that it is not conclusive evidence, but with more evidence, it will form hypotheses that cannot be overcome.

[NotATether]

I do not understand this regulation.

Does this mean buying items worth at least $10K using cryptocurrency? Or any amount using assets that are worth at least $10K USD? (which currently is only Bitcoin, which leads me to think that it might not be this interpretation because such a regulation would otherwise be useless as everyone would just use Ethereum).

Sorry, your wording of the issue isn't very clear.

[Zoomic]

https://www.dlnews.com/articles/regulation/crypto-privacy-battle-started-by-words-inserted-in-2021-law/
In 2024, US businesses will have to collect the name, address, and government ID of anyone who uses more than $10,000 crypto to buy stuff.
Crypto think-tank Coin Center sued the government, arguing the rules equate to illegal financial surveillance.
A judge recently tossed the lawsuit, saying it wasn’t ripe. Coin Center has appealed the decision.
Time is running out for the crypto industry to fight a new law that will force US businesses to collect personal information on people who use digital assets worth more than $10,000 to buy stuff.

The new rules will snap into action on January 1, 2024.

How is the government going to achieve this? It is achievable if everyone uses an exchange and complete KYC. What happens if I buy anonymously, how will the government trace it to me?
The question of NotATether comes in, if this will be applicable to highly centralized crypto or bitcoin inclusive.
I do not also find this a problem for an ordinary and honest user of bitcoin. Anyone can decided to send the transaction twice in order not to exceed the limit or didn't I understand the OP well?

[bitmover]

So , if you are careful people won't now what addresses  are really from your wallet.

If you do not run a full node yourself, a third party will know that you have addresses belonging to the same wallet, and this third party may sell the data to government or third parties. privacy is not an easy matter, especially since it may result in charges such as tax evasion.

This is true.

One way to avoid this is to avoid wallets such as Ledger Live, which creates one wallet with all your address formats (which is not possible in electrum). Also, ledger live is a highly regulated company, which has no  respect for user's privacy

[zasad@]

https://www.dlnews.com/articles/regulation/crypto-privacy-battle-started-by-words-inserted-in-2021-law/
In 2024, US businesses will have to collect the name, address, and government ID of anyone who uses more than $10,000 crypto to buy stuff.
Crypto think-tank Coin Center sued the government, arguing the rules equate to illegal financial surveillance.
A judge recently tossed the lawsuit, saying it wasn’t ripe. Coin Center has appealed the decision.
Time is running out for the crypto industry to fight a new law that will force US businesses to collect personal information on people who use digital assets worth more than $10,000 to buy stuff.

The new rules will snap into action on January 1, 2024.

How is the government going to achieve this? It is achievable if everyone uses an exchange and complete KYC. What happens if I buy anonymously, how will the government trace it to me?
The question of NotATether comes in, if this will be applicable to highly centralized crypto or bitcoin inclusive.
I do not also find this a problem for an ordinary and honest user of bitcoin. Anyone can decided to send the transaction twice in order not to exceed the limit or didn't I understand the OP well?

All business questions, such as what will happen if you pay not $ 10,500, but 3 times $ 3,500 and how the government will deal with this, you need to learn from the tax or legal practice in your state. I write about the trends that now all purchases for cryptocurrencies, and then transfers, will be controlled. If this is illegal, then the user of cryptocurrencies may be caught by the police later.

[Bushdark]

This is a way and how cryptocurrency is being regulated in the US. They want to track everyone financial expenses especially when using cryptocurrency and track spending range so they can attract more tax on them. The US is already regulating the way people spend there funds using cryptocurrency so that there will be no misuse and tracking of money laundering will be well moderated. This is not a good policy for me but if this kind of approach continue in every country then things are going to get worse with time with strict policies.