I've had bad experience with CEX's that held my funds and requested too many documents about the source of funds...
The thing is, I don't want to use a service, that might lead to a blacklisted wallet in future.
I've seen ppl mention Bisq here a lot. But I can imagine that there are a lot of blacklisted wallets trying to wash their coins, so not sure if that's a good idea...
Maybe I'm wrong, because I don't know Bisq and never been using it...
Wut? if you're worried for use a privacy oriented exchange because of money laundering, you must not ask a way to achieve 100% complete privacy then because you can't expect every users are using Bisq for good purpose. As long as you're use it for good purpose, what are you worried for?
You have to choice, either use centralized exchanges who ask your documents which make you uncomfortable or use decentralized exchanges who doesn't ask your documents, but you could receive dirty coins.