Bitcoin is supposed to be pseudonymous, right? But once you connect your wallet to a KYC platform, it all goes out the window. I was thinking, how can we have both transparency and pseudonymity? Seems like a contradiction to me.
Nah, I don’t think it’s a contradiction. KYC does make things tricky, but it doesn't mean your identity is fully exposed. Only exchanges and certain government agencies can see your profile, not the whole world.
So, you can buy and sell Bitcoin without KYC at all? I guess that depends on how much privacy you want. But even with KYC, people won't know for sure who you are just by seeing your wallet.
True, but using an exchange doesn’t automatically mean everyone can trace your wallet to your identity. If the government wants to find you, they have the means, but your neighbor won't.
People hate those P2P platforms that came from centralized exchanges with KYC. Ideally, P2P should be built by anonymous teams, otherwise they're just a risk to your privacy.
Yeah, the government has a lot of power to track things. Honestly, if you’re not doing anything illegal, you shouldn’t stress too much. But still, taxes suck.
Once you provide KYC info, it’s game over for that wallet. Every transaction is visible, and the blockchain doesn’t forget. But hey, if the exchange doesn't leak info, you might still be okay.
The term 'connect' can be confusing. Most centralized services use their addresses. It's not like you can just connect your self-custodial wallet to their system.
True that. Those transactions might not have a name attached, but if it’s linked to a bank account, it’s a whole different story. The government can trace it easily.