Sometimes It is very important to maintain anonymity of your finances, like your personal anonymity, on which the security of digital assets depends, as well as often the personal security of cryptocurrency holders.
Why you need to care about the anonymity of digital transactions
In some countries, the use of cash, precious metals, cryptocurrencies and other instruments that impede financial monitoring automatically leads you to suspicion. Many governments of different countries of the world are trying to set monitoring and over the money movement of their citizens. A stereotype is imposed on public opinion that if someone is hiding something, it means that he is most likely a criminal, evades taxes, sponsors terrorism or is involved in other dirty business.
Follow CryptoMode on Twitter, Youtube and TikTok for news updates! The same time common sense tells us that the expression “Money loves silence” is related not to crime, but based on basic everyday caution. No one in his right mind tells to all over the world about how much money he has in his pocket, does not write everywhere about the amount of his income, and does not show everyone a bank statement with a list of card transactions.
Companies also try not to advertise the details of their financial activities, do not publish customer lists detailing their orders, because it will attract detractors and competitors both to customers and to the companies themselves.
If you just state the fact that most people and businesses have a desire, and often even an urgent need to maintain the anonymity of their finances. And the reason for this is not that they are plotting something bad, but because they themselves do not want to become victims of other people’s malicious or criminal plans.
And if citizens of highly developed countries can at least hope that financial surveillance of them is carried out in certain national interests, then in countries with a high level of corruption people are justifiably afraid that their private information is likely to reach people with hostile intentions.
Is Bitcoin anonymous?
Unfortunately, the set of legal tools to maintain financial anonymity is quite limited and inconvenient to use. The appearance in 2009 of the first Bitcoin cryptocurrency gave rise to hope among people that they would finally receive quick, convenient and uncontrollable anonymous money. Indeed, promising and revolutionary ideas and technical solutions for that time were laid in the concept of Bitcoin.
Today, Bitcoin has become the most famous and widespread cryptocurrency, leading both in the number and volume of financial transactions carried out with its help. However, these parameters remain one of the few that Bitcoin managed to maintain leadership in the world of crypto.
The fact is that since its launch, the Bitcoin network has not undergone any fundamental changes and now remains close to its original level, except for some improvements in the client part that do not affect the principles of the network. For example, over the past years nothing has been done to increase anonymity, which contradicts users’ expectations.
Today, the main beneficiaries of the Bitcoin project are miners and large investors. Neither one, with rare exceptions, is striving for revolutionary changes, confining itself only to the popularization of the existing technology and the hope that Bitcoin will increase its applicability, including by moving away from the initial independent concept towards fulfilling the requirements of various local authorities.
As for anonymity, Bitcoin is really better than a bank account in terms of independence, because you can become a member of the system and manage your coins independently of anyone. No one can block or confiscate your funds and this is a fundamental advantage of decentralized crypto. But Bitcoin is worse than even a bank account in terms of ensuring anonymity of payments, because the transactions of all users are recorded in a public database – the blockchain, where they remain forever. This makes it possible to track transactions and analyze directly or using publicly available software.
When making any payment, its size, residual balances and all previous and subsequent transactions of the participants become available to everyone. Until the correspondence between the analyzed address and a specific person is established, this information is abstract in nature. But as soon as interaction with the physical world occurs, for example, the IP address, cashing details, delivery address of the goods, etc. are fixed, then it will be possible to unambiguously trace the entire financial history of a particular person.
Those who want to “slightly confuse” the history of their transactions can drive the coins through a sequence of their or someone else’s addresses. But regardless of the number of such operations, the entire transaction chain is fixed and available for further analysis.
Users who want more anonymity can take advantage of special services that offer Bitcoin mixing. These are crypto mixers that provide cryptocurrency mixing when splitting transactions into many smaller ones and passing coins through many wallets. However, it is worth remembering that not all of these services are equally effective and safe. When transferring your Bitcoins and trusting their anonymity to other companies or individuals, you should be aware of all the risks associated with this. Some unscrupulous mixers can cause damage, ranging from blocking accounts of uncomfortable users to real scam projects.
Use proven crypto mixing services
The crypto mixer BitMix.Biz began its work in 2017 and has built up a reputation for reliable and efficient service. It offers several levels of Bitcoin anonymity and provides an opportunity to choose among several additional mixing options that provide convenience and the necessary degree of anonymity and security.
– The ability to choose the size of the commission independently or automatically in the range from 0.4% to 4% does not allow analyzers to determine the ownership of transactions by their amount;
– The delay in sending transactions also prevents the identification of specific transfers of crypto, and therefore makes it difficult to identify wallets and their holders;
– Connection via TOR provides additional security for your data;
– When mixing large amounts, it is possible to use the additional randomization function, which can complicate the probability of tracking many times over, thanks to several incoming transactions to the destination wallet for mixed coins;
– The BitMix.Biz service has many reviews from users who have used the service;
Find out more from our blog and get answers to your questions in the FAQ section:
https://bitmix.biz/en/pages/faq
None of the information on this website is investment or financial advice. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website.
