Post
Topic
Board Bitcoin Discussion
Re: Eventually the FUNGIBILITY issue of bitcoin will make headlines ...
by
smoothie
on 26/09/2015, 03:45:07 UTC
Any bitcoin business that went along with say adding code that obfuscated transactions to a point that there is unlinkability and untraceability would have problems with regulators assuming they were AML/KYC compliant etc or whatever the regulation is.

There lies the issue with your logic.

In the world we are heading for these type of things don't exist. This is what I mean when I propose you are too mindfucked on fiat to see straight.

At the chance you have cared to read and didn't quite grok this part this is what Mircea means here:

Quote
First off, I do understand why you would think there is. Honestly. You're used to a certain system, you grew up in a certain system, you expect the trappings of that system anywhere you go.

Ever gone camping, fishing, hiking, and turned your eyes looking for the faucet or power outlet or wifi modem lights or whatever ? Sure, rationally you know and understand that you're in the bellybutton of fucking nowhere, and there never was and never existed such a thing as you're looking for within a hundred miles. Nevertheless, at some level, your brain expects that faucet. What do you mean nobody has ever laid a hundred miles of pipe/cable/bacon trails all the way to right over here ?! Impossibru!
http://trilema.com/2014/guidance-there-is-no-such-thing-as-bitcoin-taint/#selection-39.0-45.507

Just because I used that example does not mean it doesn't exist to have legal implications elsewhere.

let's say it is outlawed to deal in blacklisted addresses determined by your local government...yes you can move but to a certain degree what if that happens in that other country?

How exactly do you propose they enforce this blacklist.
Simple I don't propose they do.

But it is possible it could happen.

Seems very unlikely because everyone's spent outputs are constantly being combined with everyone else's spent outputs.
If you were a regulator and wanted to implement blacklisting, how would you get around this issue?



Everyone's spent outputs combined with everyone's spent outputs? Not all the time. There are obvious paths on the block chain of transactions if you dig enough a regulator/government can find what they need.

LIke I said in the OP there will come a day when a new user will buy bitcoins (say locally for cash) and when he goes to use them at a business or exchange or where ever they will be rejected. Not 100% of the time...but it will happen and we all know how the media today loves to jump on anything bitcoin related that is negative.

Please reference the OP as it was a prediction and just that.