Nostr Web Client

Okay here is the thing I dont get about robosats, or pretty much any P2P market: I understand that entry to the system requires no KYC...but since you're using traditional banking rails (or services like Strike and CashApp that use trad bank rails), arent you worries about creating a fairly complete audit trail from those sata to you?

Like, some rando 3 states over has you Zelle him some $ and he sends you sats. That person, if they are doing serious volume risks being investigated as an unlicensed money transmitter. Should tht person be investigated, doesnt that tie your bank account to this activity?

sommerfeld 2y ago

Yes it does. Your trade counterparty will always know something about you.

The bank or payment app won't know the payment was for a bitcoin trade unless your counterparty volunteers that information.

Even if they do that, that would only reveal the information related to that specific trade alone.

In order to get all your trades, LE would have to somehow track every possible trade counterparty and pressure them to reveal the data.

Compare that with just using a SINGLE counterparty!

Yes, cash-in-mail or gift cards are theoretically better. But we shouldn't let the perfect be the enemy of good. Instant small fiat payments are very liquid on p2p markets and very convenient. They also just pass as simple transactions between friends.

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Discussion

Rich Nost 2y ago

What is the max premium that you would pay for a no-KYC cash bitcoin ATM?

sommerfeld 2y ago

I would definitely never reuse the same ATM (at least frequently).

I don't have a max premium that can't be crossed, I always follow the current market and low-ball it a little.

If the current p2p premium is 30%, fine, I accept that as the real actual price.

Rich Nost 2y ago

I think the premium in my currebt area is 12%, and for anonymity, I will pay it. Imagine rolling up to the BTM in 2018-2019 and getting 1.5 to 2.5 million sats for like $100. Premiums are nothing in hindsight.

Aurelius 2y ago

I dig this thread. We need more discussion about privacy and fungibility, and less about how the dollar can burn.

Freedom of speech is only defensible if one is not immediately punished for saying the unacceptable. Freedom of speech using monetary transactions is only really free if retaliation is impossible.