31–40 of 236 posts
I think I've read more stories on bitcoin laundries than actual laundries... suprising given how long it has been around.
Here’s a little story to help balance the ratio https://www.google.com/amp/s/www.vogue.co.uk/fashion/article...
Why go through all that trouble when regular banks already launder cash for you.
Do explain, because I don't believe you actually know how banks work. Banks will flag up dubious transactions - uncommon large ones, frequent smaller ones, a sudden stop or start in transactions, etc. They've got big fraud (and money laundering) prevention teams on there, currently using machine learning to detect suspicious activity. I mean there's bound to be laundering going on via banks, but it's risky. Heard abo…
I can tell one of the ways that is missing in the article. Let's say, you have a lot of Bitcoins and your buddy is a bitcoin miner. You craft your transaction such a way that you put all your coins as transaction fee. You send your transaction only to your buddy. Your buddy picks it up and solves the puzzle afterwards. Fees will be converted to brand new coins.
yeah, this would NEVER happen with cash! /s
Probably easier for any serious criminal to just deal in cash and make deposits at the big banks, they have a long history of taking cartel money.
Earlier quoted context omitted.
Is it possible to send out transactions without sending them to the mempool?
yes, you can email it to your miner buddy. it's possible to spot such transactions if they violate transaction forwarding rules (aka standardness rules) but not consensus rules. for example, a transaction greater than 100kB is not standard but still valid.
The thing that fascinates me is ... we could do (very similar) analysis on "normal" bank accounts - on a much larger scale but still.
I wonder how much criminal activity would be revealed?
Why go through all that trouble when regular banks already launder cash for you.
Do explain, because I don't believe you actually know how banks work. Banks will flag up dubious transactions - uncommon large ones, frequent smaller ones, a sudden stop or start in transactions, etc. They've got big fraud (and money laundering) prevention teams on there, currently using machine learning to detect suspicious activity. I mean there's bound to be laundering going on via banks, but it's risky. Heard abo…
You nailed it here without noticing it: you just use the right bank(s) in the right countries, and then just shuffle and move money around.
I'm pretty sure there are organizations dedicated to set up these operations.
I get that money laundering is always linked to criminal activity, but how have we always just accepted the lack of personal privacy when it comes to finance? Privacy is a feature, not a bug; and whilst crypto may not be the way forward, I hope one day we can reach a solution that has both privacy and also safety. The language used by law enforcement is quite alarming, it suggests that they should be privy to ALL tra…
It is not just the proceeds from criminal activities, but also tax evasion (from the rich or companies) and terrorism financing.
Earlier quoted context omitted.
Yeah unless your buddy is a mining pool, I don’t follow how that would work as well.
Yup, for Bitcoin it would mean having the mining power of a big pool, indeed.