4 ms·
I guess I don't really understand what the plan is, since all bitcoin transactions have a permanent record that are publicly viewable by all. You can't hide bit
by Grim-444 6y ago
I guess I don't really understand what the plan is, since all bitcoin transactions have a permanent record that are publicly viewable by all. You can't hide bitcoin, every transaction they were involved in is recorded. If they ever want to turn the bitcoin back into real currency they need to go through an exchange to convert it, and the gov can just ask the exchange for the info / bank account of the person associated with the bitcoin.
- user-the-name 6y agoYou can tumble bitcoins. You can use decentralised and/or dodgy exchanges to change bitcoin into other cryptocurrencies, and then back after breaking the trail.
- rdsubhas 6y agoAnswer: No jurisdictive boundary. When you transfer to a bank account, it cannot move out of the country's jurisdiction without triggering multiple regulatory touchpoints. It's not easy to cash the money out overseas. But when you transfer bitcoin, it's done once to a virtual ID. The person receiving doesn't need any online account. You can't trace anything here. It's just "sending from wallet id X to wallet id Y". wallet id Y is just a cryptographic key known to the sender and receiver. Yeah so this "virtual ID" is replicated across the network, but who cares. It doesn't point to anyone yet. After this single step, there is no jurisdiction. The hacker can travel and cash it anywhere in the world outside jurisdiction of the host country's law enforcement.
- graeme 6y agoBut in the case of a financial crime targeting us interests the Us claims pretty much universal jurisdiction and they assert strong influence over global banking. So how do the coins evade that since any transfer is traceable on the blockchain?