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The minute your address interacts as a counterparty to a known mixer you're automatically flagged and everything around your risk profile accelerates dramatical

by clint 3y ago

The minute your address interacts as a counterparty to a known mixer you're automatically flagged and everything around your risk profile accelerates dramatically. That wallet is effectively burned and you'll be locked out of using any kind of reputable exchange.

HDThoreaun 3y ago
Obviously you don’t go directly from the mixed wallet to the exchange. Send some of the coins to different wallets a few times and say you bought the coins with cash from someone you met once. Or, if you’re willing to go the extra mile use that wallet to buy an NFT and the NFT wallet can use the exchange.
- zaphar 3y ago
  The mixer may obfuscate what happens inside it but unless it's a coin like zCash or something it's impossible to obfuscate that your coins interacted with the mixer. The ledger is cryptographically verifiable and completely public. A mobsters cooked books offer more protection than a blockchain from that and good forensic accounts untangle those all the time. A blockchain just makes it easier to automate the untangling. Throw in the fact that it's grey territory legally just using the mixer and I think most people are vastly understating the risks of using a mixer even if they did nothing wrong with the money otherwise.
  - HDThoreaun 3y ago
    It’s not illegal to have coins that at some point in the past were mixed. In fact I suspect that most bitcoins can be traced back to a mixer if you go back.
    - Gigachad 3y ago
      Might not be illegal, but you’ll never be able to cash out.
      - ashwagary 3y ago
        >you’ll never be able to cash out P2P dexs dont care about mixer usage, you can always find a way to cashout if you have the private keys.
        acdha 3y ago
        Perhaps, but as regulators step up it’s going to devalue things once people know coins from tainted chains are going to be harder to resell. That’s going to further increase the risk of using mixers since the people using them for ideological reasons are going to scale back their usage as it starts costing them money & adding risk.

by clint 3y ago

HDThoreaun 3y ago

Obviously you don’t go directly from the mixed wallet to the exchange. Send some of the coins to different wallets a few times and say you bought the coins with cash from someone you met once. Or, if you’re willing to go the extra mile use that wallet to buy an NFT and the NFT wallet can use the exchange.

zaphar 3y ago
The mixer may obfuscate what happens inside it but unless it's a coin like zCash or something it's impossible to obfuscate that your coins interacted with the mixer. The ledger is cryptographically verifiable and completely public. A mobsters cooked books offer more protection than a blockchain from that and good forensic accounts untangle those all the time. A blockchain just makes it easier to automate the untangling. Throw in the fact that it's grey territory legally just using the mixer and I think most people are vastly understating the risks of using a mixer even if they did nothing wrong with the money otherwise.
- HDThoreaun 3y ago
  It’s not illegal to have coins that at some point in the past were mixed. In fact I suspect that most bitcoins can be traced back to a mixer if you go back.
  - Gigachad 3y ago
    Might not be illegal, but you’ll never be able to cash out.
    - ashwagary 3y ago
      >you’ll never be able to cash out P2P dexs dont care about mixer usage, you can always find a way to cashout if you have the private keys.
      - acdha 3y ago
        Perhaps, but as regulators step up it’s going to devalue things once people know coins from tainted chains are going to be harder to resell. That’s going to further increase the risk of using mixers since the people using them for ideological reasons are going to scale back their usage as it starts costing them money & adding risk.