The Treasury Is Expanding the Patriot Act to Attack Bitcoin Self Custody
(www.tftc.io)
from cyrano@lemmy.dbzer0.com to privacy@lemmy.ml on 12 Sep 23:19
https://lemmy.dbzer0.com/post/53161394
from cyrano@lemmy.dbzer0.com to privacy@lemmy.ml on 12 Sep 23:19
https://lemmy.dbzer0.com/post/53161394
cross-posted from: lemmy.bestiver.se/post/613592
threaded - newest
Surveillance state adds suveillanceđ
I know right! Iâm in shock. /s
To be fair, the author has a good point, but we knew this was coming, and Bitcoin did nothing to prevent it. Monero, however, did.
what did Monero do to prevent it?
It doesnât need mixing because the protocol itself hides the sender, the receiver, and the amount as due course.
This stuff is basically banning any privacy-preserving technology on a public blockchain, like Bitcoin, since it has no privacy by default.
but we do use self custody wallets, which is actually a good thing. and we do churn, because the anonymity set of the sender (right?) is pretty limited as of now. and churning is almost like mixing between wallets.
Monero does not âchurnâ it uses ring signatures. And that is done by default and enforced by the protocol. Any transaction that attempted not to do it would be considered invalid.
monero does not, but itâs users do manually. at least not too long ago it was recommended in the community
I have not seen that recommendation. In fact, from everything Iâve heard, itâs better not to attempt churning because it could reduce your anonymity, especially if you fuck up and do it in a predictable manner, like during a certain set of hours that might indicate your time zone.
Only centralized entities are affected by it. This isnât a blanket ban on self-custody, as Lola Leetz puts it in a Nostr comment about it.
âŚyet. Authoritarianism creeps, it crawls silently, strategically, meticulously, knowing that far too few will notice or care until itâs too late.
The people saying itâs a blanket ban is just spreading FUD about it right now. While itâs a valid concern, itâs highly unlikely the blanket ban will be seeping to DEXâs.
Iâm sorry, but WHAT?
The US has been detaining citizens to foreign countries without due process.
Supreme court validated ICE raids in cities.
This is not âauthoritarianism creepingâ, itâs just doing a victory lap.
Yes, but that didnât happen overnight. The authoritarian creep had been happening long before, but itâs important to remember that they donât yet have total control; they can do a lot of horrible things with impunity, certainly, but they need to keep up appearances and move more slowly with other things so they have less resistance from whatever remains of the judiciary.
It kinda did.
Like people voting in a felon in a day.
Itâs the equivalent of farmers voting for trump and getting screwed over, Bitcoin bros are next in line
I think most Bitcoin bros just care about the line going up; not about privacy/freedom. Trump and those around him are getting insanely wealthy from crypto in general.
âbitcoin brosâ who use custodial wallets and âbitcoin brosâ who do high-frequency trading on Coinbase are not the same people. This is not good news any way you spin it, just further consolidation of power.
big deal, and fascism. NATO colonies copying the fascism is to be expected. Spirit of 2nd amendment is spirit of right to resist.
Patriot Actâs name is meant to distract from fascist powers within it, and while bitcoin is not super anonymous if you use techniques that are now recommended to âcrackdownâ, there is improvement.
Bitcoinâs superiority over gold is the ability to move to a more welcoming jurisdiction without border confiscation, or luggage weight, concerns, and so US/Colonies crackdown on âdefinancialization rightsâ may well lead to wealth drain from the empire.
What the blunt
itâs never lupus lookin ass
As reminder crypto are being centralized so it is looking more like traditional finance. Coinbase holds over 12% of all Bitcoin and 11% of staked Ether.
coinlaw.io/coinbase-users-statistics/
Thatâs everything of value. All a well decentralized ledger could do is make it incredibly hard to block transactions, change the parameters for total coin supply and dispersion rate. Donât know why anyone expected anything in terms of more even wealth distribution. Wealth distribution is determined by off chain factors. Factors no different than any other value store
Itâs my understanding that Monero actually provide anonymous transactions.
Yes? But who own monero? And itâs verification nodes? Might end up centralized like btc and eth
Ironically this does not prevent technologies like Monero from becoming the next big platform; nor will it really prevent people from evacuating their coins to a more private and self-custodial wallet.
In general it really only puts a few more onerous steps into the equation where there will be fences and people who are expected to digitally mule bitcoin around.
In the same manner that organized criminals work around modern financial regulations aimed at capturing them; they can also work around regulations surrounding Bitcoin itself; and once the Bitcoin itself is fenced off into a Monero or other privacy preserving coin; it will remain there âburnedâ or get âlaunderedâ by a group of gang members a few hundred times to re-mint coins clean enough to be re-deposited and re-used in the same manner.
It wonât matter in the long run that they are tracking the provenance of every satoshi. Especially not if itâs far too common that anyone making a suspicious move turns out to be a privacy conscious, law-abiding, yet innocent citizen.