The privacy issue while being online is a big problem these days when we see servers get compromised and sensitive private data are stolen from criminals or even worse when big companies selling people’s data for commercial purposes etc.
When it comes to mone the privacy becomes even more important. While using bitcoin a certain level of anonymity is preserved since addresses have no name and apparently are no linked to an identity.
Satoshi Nakamoto was very careful in preserving his anonymity but the average internet user is not that careful as Satoshi was.
Because of that bitcoin transaction in most of the cases can be linked to identities because the bitcoin ledger is public and anybody can follow the trail until an address linked to some personal information. Or maybe an IP address.
So how can you preserve your anonymity while doing bitcoin transactions without the risk of being traceable?
Using Bitcoin Mixers
It is important to understand first that every bitcoin transaction is traceable to the genesis block and is public forever on the public ledger for inspection by anyone.
The most popular way to anonymize your bitcoin transactions is to use a bitcoin mixer. Bitcoin mixers are services where you send your bitcoin to an address and receive your bitcoins to another fresh new address not linked with any personal info. What the mixer does is that it makes difficult for anyone to link the fist address with the new address.
Practically what they do is that they send your bitcoins to another person and someones bitcoins to you randomizing the process and the amounts even adding time delay some time.
Bitcoin mixers are a popular service among crypto users because they preserve the user’s privacy and anonymity while adding more security to their online crypto activity.
Using Encryption and VPN
The best way to stay anonymous online is by encrypting your online activity and using a VPN to hide your real IP. This can be done easily using TOR an open-source browser that encrypts your activity and hides your Ip so you appear to be accessing the internet from another location.
Buy or Sell Bitcoin using Cash
There is the KYC trend that is growing in most crypto exchanges forcing the user to verify their identity in order to use the exchange. Recently even localbitcoin is forcing this rule.
However, bitcoin does not need a third party to make transactions. You can exchange bitcoin with cash if you meet the person physically, however even in this case, you need to be careful to not show the buyer or the seller your personal info.
Your bitcoin transactions are not someone else business, so keep it private and secure form the curious eyes. Use a bitcoin mixer, use VPNs and make bitcoin transactions with cash to stay more secure.