3 ms·
The problem is that thieves will often quickly mix the stolen coins with untainted coins. So, there will be a large number of descendants of "tainted" transact
by nokcha 9y ago
The problem is that thieves will often quickly mix the stolen coins with untainted coins. So, there will be a large number of descendants of "tainted" transactions, the majority of which are held by completely innocent people. A real-life analogy would be taking stolen gold nuggets to an unknowing goldsmith who melts them together with gold nuggets from other customers and gives back freshly minted gold pieces.
- saalweachter 9y agoThat practice would stop immediately if there was some risk to the non-criminals/other criminals, to lose there money by mixing it, wouldn't it?
- always_good 9y agoCan you pitch an example of this risk that wouldn't make the currency useless (like too risky to have anyone else hold it or arbitrate it) or ridiculous (KYC-style constraints)? What is the mechanism of punishing the tainted the money going to be and the mechanism for deciding which money is tainted?
- saalweachter 9y agoOh, there's like twelve problems with trying to implement colored coins; I'm just saying the existence of mixers isn't one of them.