Nostr Web Client

If only there was a self-custodial bitcoin privacy wallet which could prevent this, we could call it ninja wallet? Samourai Wallet? 👘🗿

mike 3w ago

This is nothing to do with the wallet, your coins are stored on the blockchain, not your wallet. Your wallet simply holds your keys and other tertiary information.

There are some privacy options however:

The first, I suggest is, ensuring you use different wallet (receiving) addresses for each new transaction. And if you wallet supports it, manually selecting your UTXO to be similar in size to the amount you wish to spend (some wallets do this automatically).

SparrowWallet is one of the most granular wallets out there, but it isn't for the feint hearted.

Although CoinJoins are pretty much stopped as a public offering, you can run a CoinJoin on your own node through a service like Jam, but once joined into a new UTXO, if you spend, say, 10K Sats on a UTXO with 10M Sats, this is still public information, even after a CoinJoin (Jam).

Lightning is less traceable, but still has privacy concerns.

In short, Bitcoin is a public ledger, your only source of anonymity is that nobody knows your wallet address(es) until you expose them by spending them, when you do.

Reply to this note

Please Login to reply.

Discussion

Apiarium 3w ago

Without private ways of transactions it doesn't matter how many wallets you use, because they are still connected

mike 3w ago

Bitcoin is not a privacy coin, it's transparency is a prime function of its "Don't trust, verify" ethos.

There are privacy coins if you want this and there are many ways to obscure your Bitcoin transactions and even sidechains like Liquid which offer transaction encryption.

But inherently Bitcoin is the opposite of a privacy coin, by design.

Apiarium 3w ago

The Ledger is transparent, the tools we use with it don't have to be

mike 3w ago

It sounds like you have a predetermined agenda.

I wont step in your way 😂

Apiarium 3w ago

No Agenda, just a vision of a better, more private future & financial independence

mike 3w ago

In that case, I think the Monero guys lurking about here would help you.

Bitcoin for the NGU and Monero for spending privately.

The slightly less better option is Liquid, Blockstreams side chain. It pegs Bitcoin to its liquid Bitcoin L-BTC 1:1

It encrypts the transaction values, but not the wallet addresses. It is a federated network run by around 30 major companies, including Blockstream.

I would have shared a link to their blockchain, but it appears Cloudflare are down again, but for future reference, this is a public copy of their blockchain

https://liquid.network/

Apiarium 3w ago

Is a Bitcoin ATM transparent? Does it need KYC?

mike 3w ago

Depends on the ATM and the jurisdiction it is operated within, but there is nothing that technically requires KYC.

If you're thinking in terms of privacy, then a Bitcoin ATM that offers Lightning would be more private than a mainchain transaction.