Some things you need to know before Using Bitcoins Anonymously

<div dir="ltr" style="text-align: left;" trbidi="on"> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;"><b>There are several forms of anonymity for online purchases.</b></span></div> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;"><b>Some things you need to know</b></span></div> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;"><b>Before Using Bitcoins Anonymously</b></span></div> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;"><b><br /></b></span></div> <span style="font-family: Arial, Helvetica, sans-serif;">Store/service purchasing transaction anonymity - We are able to generate separate wallet addresses so that the store does not see repeat orders from one wallet. This form of privacy breaks the database many stores, such as Amazon, Target, Costco, etc. keep on customer purchases. There will be almost an infinite number of purchases from different Bitcoin wallet addresses. Different Bitcoin addresses with different purchases makes it almost impossible to track buyers.</span><br /> <div class="separator" style="clear: both; text-align: center;"> <a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiakD_nS31eZugX-dHFuCCgFdeOcMiEVj6YsmQJXjUJxeYMlH8zEGsxkSwH-EDSACAUjW4Y0JlbyHypx9F3sJPsdqWArH6Fm5sdA2iCnZ9ttWDufpCvoGNtKfB7n9VCG3dYl_F3nMOgKX8/s1600/bitcoin-mining.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="168" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiakD_nS31eZugX-dHFuCCgFdeOcMiEVj6YsmQJXjUJxeYMlH8zEGsxkSwH-EDSACAUjW4Y0JlbyHypx9F3sJPsdqWArH6Fm5sdA2iCnZ9ttWDufpCvoGNtKfB7n9VCG3dYl_F3nMOgKX8/s320/bitcoin-mining.png" width="320" /></a></div> <br /> <span style="font-family: Arial, Helvetica, sans-serif;">We can maintain this low level of anonymity by creating a new Bitcoin address or wallet for each purchase. Many Bitcoin wallet services or clients have a “New Address” option for each purchase. This option creates a shadow wallet address that ties in with your main wallet and masks where the purchase came from.</span><br /> <br /> <span style="font-family: Arial, Helvetica, sans-serif;">Our original Bitcoin wallet address, account, and email address can be tracked back to our Internet service provider (ISP), computer, and finally, our identity.</span><br /> <span style="font-family: Arial, Helvetica, sans-serif;">Preventing any attempt at linking a person to a Bitcoin wallet address, service, or email requires a more thorough approach.</span><br /> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;"><b>These steps are available from Anonymity.com</b></span><br /> <br /> <br /> <ol style="text-align: left;"> <li><span style="font-family: Arial, Helvetica, sans-serif;">Use Tor browser from http://www.torproject.corg.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">After Tor confirms that you are being routed through the Tor proxy network, go to TorMail for hidden service and create an email account. This is the first, and major roadblock for anyone tracking Bitcoin addresses - anonymous email addresses.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">Create a new, anonymous email address through Tor for each new Bitcoin purchase.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">Use the bitinstant.com service or others that allow cash deposits for Bitcoin to email purchases. Another option is to use localBitcoins.com for buying them in cash anonymously.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">Use the created TorMail email address, the amount of money you are converting to Bitcoins, create a name with a DOB. Will be a good idea to keep these handy, but not necessary.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">Take the cash deposit slip to the service counter that completes the deposit process. There may be cameras to avoid at some locations.</span></li> <li><span style="font-family: Arial, Helvetica, sans-serif;">The transfer will be completed after you get confirmation, normally within an hour. Create another Bitcoin address using the same steps above, and send the Bitcoins to the newest address created with TorMail.</span></li> </ol> <br /> <br /> <span style="font-family: Arial, Helvetica, sans-serif;">Following these steps creates a nearly impenetrable wall of anonymity.</span><br /> <br /> <span style="font-family: Arial, Helvetica, sans-serif;">Our anonymity is not fool proof with Bitcoin. Most of the services commonly used, such as Dwolla, MtGox, Bitcoin-24, Flexcoin, and many others do require tying our account to bank accounts, and often cell phones. This account linkage requires much more effort for clearing our trail. Getting a prepaid phone from a small retailer in the $20 range, we can receive our confirmation text with this phone and not use it for anything else.</span><br /> <br /> <span style="font-family: Arial, Helvetica, sans-serif;">Getting funds into and out of the Bitcoin wallet for everyday use will have to occur without having a bank account tied to the Bitcoin service. Once we tie our bank accounts in, we have lost anonymity.</span><br /> <span style="font-family: Arial, Helvetica, sans-serif;">Paypal is not a popular method of buying Bitcoins, partly because it breaks anonymity. The other reason for avoiding Paypal, is that there is up to a 7 day delay for obtaining Bitcoins through Paypal. This delay stems from the reversibility of Paypal transactions. Avoid using Paypal because other Bitcoin users will suspect the transaction to be spam or from a dishonest person.</span><br /> <br /> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;">Our options for fully maintaining Bitcoin anonymity throughout - and not on a per transaction or per store basis - necessitates buying Bitcoins with cash, barter, silver, gold, or anything but bank wires, debit cards, Paypal, or standard financial instruments.</span></div> </div>

Some things you need to know before Using Bitcoins Anonymously

There are several forms of anonymity for online purchases. Some things you need to know Before Using Bitcoins Anonymously Store/ser...

Read more »

How Anonymous Are Bitcoin and Bitcoin Wallets?

<div dir="ltr" style="text-align: left;" trbidi="on"> <div style="text-align: center;"> <b><span style="font-family: Arial, Helvetica, sans-serif;">Bitcoin is often described as a way to transact anonymously. But just how anonymous is it?</span></b></div> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;">First off, it is useful to draw a basic distinction between anonymity and privacy in the context of financial transactions. We will call a transaction “anonymous” if no one knows who you are. We will call a transaction “private” if what you purchased, and for what amount, are unknown.</span><br /> <div class="separator" style="clear: both; text-align: center;"> <a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiy0ldOzEJ9HaczUq2Wfl8dnvxK8rPYTtohDwa02J-rwgfUmIO37lySHaM4aG_kk1wOp_0rlsC59MD1vqSG1UHPc-xX32R2p59i-ldSV8QIh-9K_eXGiGPsHNrciGLDt-VkZQzL8-DTwaE/s1600/1405339537526494.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="92" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiy0ldOzEJ9HaczUq2Wfl8dnvxK8rPYTtohDwa02J-rwgfUmIO37lySHaM4aG_kk1wOp_0rlsC59MD1vqSG1UHPc-xX32R2p59i-ldSV8QIh-9K_eXGiGPsHNrciGLDt-VkZQzL8-DTwaE/s320/1405339537526494.jpg" width="320" /></a></div> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;">How anonymous is bitcoin today? Average users should be aware that it is certainly less anonymous than cash. Meanwhile, dedicated users willing to go through extraordinary lengths can find ways to acquire and use bitcoin anonymously, but the open nature of the transaction ledger and other unknowns leave open the possibility that identities and activities once considered perfectly secure may be revealed at some point down the road.</span><br /> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <br /> <div style="text-align: center;"> <span style="font-family: Arial, Helvetica, sans-serif;"><complete id="goog_1420542204"><iframe allowfullscreen="" frameborder="0" height="auto" src="https://www.youtube.com/embed/gJvVk-kCiSI" width="auto"></iframe></complete></span></div> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;">What about the future? As bitcoin adoption continues to increase, it is not out of the question that a technology arms race could arise between anonymizers and deanonymizers: on the one hand, increasingly sophisticated data mining schemes will be developed, possibly combining transaction graph analysis with IP address discovery, to trace the movement of funds in the block chain between individuals and across borders. On the other, improved techniques will be devised to better conceal individual identity and activity.</span><br /> <span style="font-family: Arial, Helvetica, sans-serif;"><br /></span> <span style="font-family: Arial, Helvetica, sans-serif;">Here there are many unknowns. Will the core bitcoin code be modified to further protect anonymity or to facilitate regulation? Will bitcoin mixing services become pervasive and secure? Will transaction graph analysis reach a degree of sophistication where most user activities can be easily traced? Will an alternative digital currency or side chain arise which tilts the balance for or against anonymity? All we can say with certainty is that bitcoin is still in its infancy and that existing thinking and tools in the area of anonymity are still primitive. We have seen only the opening moves; the endgame has yet to be played.</span></div>

How Anonymous Are Bitcoin and Bitcoin Wallets?

Bitcoin is often described as a way to transact anonymously. But just how anonymous is it? First off, it is useful to draw a basic disti...

Read more »