Bitcoin Exchanges and Anonymity


1) When I want to sell bitcoin through a Bitcoin Exchange, do I have to transfer the bitcoin to a Bitcoin Wallet created by the Exchange and related to my account on the Exchange, or I have just to "connect" my Bitcoin wallet to the account on the exchanger?

You'll have to transfer the bitcoins you want to sell to the wallet of the exchange. Each exchange implements a bitcoin wallet for every user within their system, and you can transfer money in and out of this wallet as if it were yours - please be cautious about storing large sums of bitcoins on the exchange wallet, because most exchanges have the private key of this wallet and could do whatever they want with the money on it. You have to trust the exchange to store your bitcoins.

2) And when I will sell the bitcoin, the transaction will be displayed on the Blockchain right? But can this transaction be identified as a transaction made on a Bitcoin Exchange or not? (So that someone can know that I've just...

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With the value of Bitcoin rising drastically over the past year, it’s no wonder many people have developed a new found interest in the cryptocurrency.

With that comes the fact that many individuals will start looking for a reliable way to manage and trade their Bitcoins.

As a matter of fact, some of the more entrepreneurial-minded internet users will even look to earn a few bucks from said trading, and for that they will need a reliable platform to conduct their business.

What to look for?

So what exactly makes a certain exchange platform worth using? It really depends on who is being asked, but most people will agree that certain factors are always important to note.

1. Privacy – one of the main attributes of Bitcoin as a cryptocurrency is the fact that, when handled properly, transactions cannot be tied to a certain individual.

The privacy that this offers can be greatly mitigated by an exchange that is too lenient about their security,...

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Bitcoin is often described as an anonymous currency because it is possible to send and receive bitcoins without giving any personally identifying information. However, bitcoin by itself is in most cases, not 100% anonymous. In fact, bitcoin is pseudonymous: sending and receiving bitcoins is like writing under a pseudonym. If an author’s pseudonym is ever linked to their identity, everything they ever wrote under that pseudonym will now be linked to them. In bitcoin, your pseudonym is the wallet to which you receive bitcoin. Every transaction involving that address is stored forever in the blockchain. If your address is ever linked to your identity, every transaction will be linked to you. But achieving reasonable anonymity is quite easy.

Buy Bitcoins Anonymously

What you can do in the first place is to buy bitcoins anonymously.

The best option is to buy them with cash to avoid on-line exchanges totally. Most online exchanges require verification where you need to...
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Bitsquare provides a peer-to-peer exchange between bitcoin and national currencies, as well as between bitcoin and a wide range of altcoins. The decentralized nature of Bitsquare offers its users a range of advantages over traditional exchange services.

Perhaps the most notable advantage is security. When using a regular exchange website, users send their coins to the exchange provider who holds onto them until a withdrawal request is made. The private keys for all of the coins deposited by everyone using the exchange are held on the company’s servers – which present a very attractive target for both external hackers and potential thieves within the exchange itself. There are numerous examples of such exchanges going under due to theft or even fraud by the operator themselves, taking their users’ bitcoins with them when they disappear. When using Bitsquare the exchange is conducted directly, with the coins going directly from the seller to the buyer without passing through a...

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Bringing bitcoin exchanges’ anonymous trading practices to the public could be the key to tracking down terror groups’ funding, according to the European Union executive arm.

Last month, a senior official of the European Commission (EC) told the European Parliament that the commission doesn’t see the need to regulate digital currencies just yet because they are more focused on understanding “better what is happening.”

Now weeks later, the commission came out with an action plan that details several changes to its Anti-Money Laundering Directive (AMLD). The amendments, according to the commission, will help strengthen the government’s fight against terrorism financing.

The plan doesn’t actually have any piece of evidence to prove virtual currencies are being used to finance terrorism, but EC feels the need to come up with a regulation as part of its ongoing effort to stop terror attacks. Better to be safe than sorry, right?

Under the commission’s plan,...

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When it comes to finding the best bitcoin exchange things are not all that easy. Why is this so? Simply because many of the best sites to buy bitcoin are rather recently online. This means that they have had little to get the word out about their services and products. Most people coming to this page will be asking how to buy bitcoin online through a secure means. Well, here is a good starting point. Let’s see how.

First thing to consider when looking for the top bitcoin exchange is how safe are the website and server. This boils down to asking: is it a trustworthy exchange providing transparent data of coins in cold storage (more on this later) and are customers happy? It’s also good to lookout for which currency pairs are available: are you looking to trade bitcoin for USD, Euros, or other fiat currencies. The location usually gives an idea of what’s on offer. However, the largest bitcoin sites usually have many options for buying bitcoin with government issued currency...

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What is ExchangeMyCoins?

ExchangeMyCoins is the one thing missing from the crypto currency world - easy, fast and secure exchanges Bitcoin to Litecoin and other popular crypto currencies.

No fees

To make the exchange from BTC to LTC as easy for you as possible, we will not charge any additional fees to make your Bitcoin to Litecoin exchange. All expenses regarding transactions and administration are included in the exchange rate you see above, which makes it easy for you to see exactly how many Litecoins you will receive.

No registration

Fast and simple Bitcoin to Litecoin exchanges, don't play well with complicated user registration forms, where all kinds of unneccesary information change hands - so we simply left that part out.

Total anonymity

Crypto currencies such as Bitcoin and Litecoin are all about anonymity and we are all about crypto currencies. So in the spirit of anonymity, we will not ask you to provide any personal...

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Find answers to recurring questions and myths about Bitcoin.

Table of contents


What is Bitcoin?

Bitcoin is a consensus network that enables a new payment system and a completely digital money. It is the first decentralized peer-to-peer payment network that is powered by its users with no central authority or middlemen. From a user perspective, Bitcoin is pretty much like cash for the Internet. Bitcoin can also be seen as the most prominent triple entry bookkeeping system in existence.

Bitcoin is the first implementation of a concept called "cryptocurrency", which was first described in 1998 by Wei Dai on the cypherpunks mailing list, suggesting the idea of a new form of money that uses cryptography to control its creation and transactions, rather than a central authority. The first Bitcoin specification and proof of concept was published in 2009 in a cryptography mailing list by Satoshi Nakamoto. Satoshi left the project in late 2010...

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Bitcoin is not anonymous, but, rather, pseudo-anonymous. By now, most Bitcoin veterans know this. It’s less obvious to many, however, why Bitcoin is not really anonymous by default, and what can be done to de-anonymize Bitcoin users – and what Bitcoin users can do to reclaim their privacy.

Below is an advanced beginners guide to get a better understanding of the nuances of Bitcoin and anonymity.

How do Bitcoin transactions work?

To better understand Bitcoin’s anonymity, it's necessary to first understand how Bitcoin works on a basic level.

Most importantly, the Bitcoin protocol effectively consist of a series of transactions. These transactions are basically a package of different kinds of data, among which are transaction inputs and transaction outputs. Inputs refer to Bitcoin addresses used to send bitcoin from, and can only be spent using the private key associated to that address. Outputs effectively refer to addresses used to send bitcoin to. Each...

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TL;DR Version

E-coin is our choice for the best bitcoin debit card. It is anonymous, works everywhere, and if you spend enough, completely free! Read more at

How do bitcoin debit cards work?

The easiest way to spend bitcoin at the moment is to simply get a bitcoin debit card. Bitcoin debit / prepaid credit cards are offered by some bitcoin exchanges. They usually work just like regular prepaid cards, and can be used online, at the ATM, or at the store.

The cards are topped up by depositing bitcoin to your card provider’s wallet – just like in a regular bitcoin exchange. The only difference is that you can exchange your bitcoins to physical cash instantly!

Reasons to get a bitcoin card

Spending your bitcoins in the real world can be a little bit difficult, at least in the current point in history – who knows what things will be like in 10 years. A bitcoin ATM/debit card will make it possible to purchase anything in places...
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Anonymity, one of Bitcoin's supposed biggest advantages over regular currencies, is all but gone on Mt. Gox, the world's largest Bitcoin exchange and trading website.

The japanese-based Mt.Gox announced on Thursday that users who want to exchange currencies into Bitcoin will need to have a verified account, providing a photo ID and a document proving his or her legal residence.

"The Bitcoin market continues to evolve, as do regulations and conditions of compliance for Mt. Gox to continue bringing secure services to our customers," read Mt. Gox's press release announcing the change. "It is our responsibility to provide a trusted and legal exchange, and that includes making sure that we are operating within strict anti-money laundering rules and preventing other malicious activity."

The change comes just two days after the feds shut down Liberty Reserve, a largely unregulated online payment system accused of being a money-laundering "PayPal for...

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This article is the first of a two-part interview with University of California-San Diego researcher Sarah Meiklejohn on her new research paper, "A Fistful of Bitcoins: Characterizing Payments Among Men With No Names."

Due to murky regulations and a lack of awareness among major law enforcement entities, for victims of bitcoin theft, there aren't many places to turn to seek justice. One of those places, however, is University of California-San Diego (UC-SD), which is home to researcher Sarah Meiklejohn.

Law enforcement agencies and media outlets turn to the PhD candidate to trace bitcoin movements, because Meiklejohn – along with a team including other UC-SD researchers and those from George Mason University – has dug deep into the block chain, following the money and challenging the notion that bitcoin transactions are anonymous.

Meiklejohn's paper, “A Fistful of Bitcoins: Characterizing Payments Among Men With No Names,” provides a snapshot of the...

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One of the world's largest Bitcoin and Ether cryptocurrencies exchanges Bithumb has recently been hacked, resulting in loss of more than $1 Million in cryptocurrencies after a number of its user accounts compromised.

Bithumb is South Korea's largest cryptocurrency exchange with 20% of global ether trades, and roughly 10% of the global bitcoin trade is exchanged for South Korea's currency, the Won.

Bithumb is currently the fourth largest Bitcoin exchange and the biggest Ethereum exchange in the world.

Last week, a cyber attack on the cryptocurrency exchange giant resulted in a number of user accounts being compromised, and billions of South Korean Won were stolen from customers accounts.

Around 10 Million Won worth of bitcoins were allegedly stolen from a single victim's account, according to the Kyunghyang Shinmun, a major local newspaper.

A survey of users who lost cryptocurrencies in the cyber attack reveals "it is estimated that hundreds of...

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You need buy your bitcoins without any link to your name.

Then group them into several wallets of a smaller size.

If you have 440 bucks or one Bitcoin in 100 wallets for a total of 100 bitcoins when you spend 5 bucks for a coffee the wallet you spent it from is now tainted with a time and place. They may not know at that point exactly who you are but they know that at 10:15 you were in Starbucks in Portland.

Now if your next purchase from that wallet is a coffee in Seattle they know your traveling.

If your next purchase is at the Silk Road they know that wallet,,, who just used Silk Road, gets a coffee everyday at Starbucks at 10:15.

They just have to watch where you spend your money and they can track that wallet.

So not only should you buy bitcoins with No ID but you can't keep them all in one wallet.

Mix them and store them in several wallets and know that once you spend out of a wallet that purchase could have out you on the...

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Due to it’s anonymous and untraceable nature, Monero (XMR) has recently dethroned Bitcoin as the leading currency of the deep web, leaving Monero has one of the biggest market caps in crypto and the highest ranked in terms of trading volume. Monero uses ring signatures to mix your transactions, which is why it was chosen as the anonymous cryptocurrency of the dark markets, but darknet markets are not the only place where privacy matters, but it’s one of the few places where you’ll be able to actually buy something with Monero, which is not a problem with Bitcoin. Bitcoin is a globally accepted payment system and can be used to purchase mostly anything, but that doesn’t mean that all your transactions should be public. There is a big difference between privacy and secrecy, and even though you may have nothing to hide, doesn’t mean you’ll want to show everything. Yes, illegal purchases aren’t the only reason to stay anonymous when transferring value. Reasons...

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As Bitcoin becomes more mainstream the idea of a way to cloak transactions are becoming less viable in some people’s opinions. There have been forum posts from community members detailing accounts being closed for using gambling services or making purchases on a darknet market. Consequently, some people have looked to the altcoin scene in hopes of a totally anonymous cryptocurrency.

Also read: How ‘Bitcoin City’ Arnhem Signed Up Its 100th Merchant, Burger King

In the world of cryptocurrency, many believe fungibility is a very important aspect for the future of this technology. Because Bitcoin is pseudo-anonymous and most coin shufflers require a third party, other altcoins are trying to fill the role of private zero-knowledge transactions.

Zcash: ‘All Coins Are Created Equal’

There’s been a lot of talk about a cryptocurrency called Zcash in the virtual money community. The founder of the untraceable digital currency, Zooko Wilcox, launched the public...

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Using bitcoin over the anonymity network Tor leaves users at greater risk of having their identities revealed, according to academics at the University of Luxembourg.

If that seemingly paradoxical finding isn't enough to scare privacy-loving bitcoiners, the researchers also determined that an attack could be mounted on an "economy" budget of just $2,500 a month.

Such an attack could expose the identity of a bitcoin and Tor user, and allow the attacker to meddle with the victim's transactions, they said.

Ivan Pustogarov, one of the two researchers working on the issue, explained:

"The problem here is with anonymity. When people are connecting through Tor, they are expecting to have a higher level of anonymity ... it does provide some level of anonymity, but it is not that hard to break this."

The attack is laid out in a paper titled, Bitcoin Over Tor Isn't A Good Idea, written by Pustogarov, a doctoral student at CryptoLUX, the University of...

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The People's Bank of China issued a new statement today in which it laid out in writing the warning it issued to nine domestic startups in a meeting yesterday.

The post, issued via the central bank’s website, confirmed rumors that circulated yesterday suggesting that the new meetings were broader than ones held earlier in the month, including a number of lesser-known bitcoin and cryptocurrency exchanges.

Perhaps most notably, the PBOC indicated it has issued specific directives to the businesses, reiterating that the platforms must enforce anti-money laundering (AML) and foreign exchange regulations.

The central bank said:

"If the exchanges violated the above requirements, and if the circumstances were serious, the inspection team may ask the relevant departments to close down the exchanges according to law."

BTC Trade, Yunbi, HaoBTC, CHBTC, BTC100, BitBays, Yuanbao, Dahonghuo and Jubi were among the bitcoin exchange platforms in...

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Yesterday's ominous closed-door meetings between the PBOC and bitcoin exchanges, appears to have had a dramatic effect, and as at least two Chinese bitcoin exchanges, Huobi and OKCoin, reported moments ago, all bitcoin withdrawals are now effectively suspended.

The result on bitcoin price was immediate and dramatic with bitcoin traded in China tumbling 7%.

This is the third major plunge driven by PBOC words (or deeds) pushing the dollar price of Bitcoin back below $1000

Here is the statement issued by Huobi, which we assume will be cross-posted by all other Chinese bitcoin marketplaces, in what appears to be the final crackdown phase by the Chinese central bank on local bitcoin traders (google translated).:

respected user:

According to regulatory authorities, "Bitcoin trading platform shall not violate national anti-money laundering, foreign exchange management and payment and settlement and other financial laws and regulations"...

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SHANGHAI (Reuters) - Major Chinese bitcoin exchanges have started to resume allowing withdrawals of the cryptocurrency after nearly a four-month freeze that followed increased scrutiny from the central bank.

Bobby Lee, chief executive of BTCChina, said in a statement on Thursday that his exchange had started "testing" withdrawals after upgrading its "know your customer" and anti-money laundering systems.

Huobi, another exchange, said in a statement it would resume withdrawals on Thursday.

Two industry sources said OkCoin, China's third major cryptocurrency exchange, had resumed allowing withdrawals. A spokeswoman for OkCoin declined to comment but referred Reuters to an industry news outlet that reported on the resumption.

As the popularity of bitcoin spread, China quickly evolved into the world's leading venue for bitcoin trading. But volumes collapsed after the...

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