I am actually reading about tainted bitcoin for the first time and even the way the tainted bitcoin came about but the issue is how do one get it tainted especially where its a scam situation. Do I report somewhere or I paste the transaction id somewhere? Also, I feel it won't still have any effect since we already have a mixing service to clean it of.
It's only tainted when a mixer or exchange refuses it because they blacklist the input.. It has nothing to do with blockchain or crypto but instead their own or outsourced seperate database..
People are mostly wrong about bitcoin security. chainalysis.com only needs input and output flow because typical user behavior.. They have the best tracking algorithms.. It has nothing to do with crypto or IP data.
My credibility: I wrote one of the best mixers ever and I follow chainalysis behavior through headlines.