Post
Topic
Board Bitcoin Discussion
Re: Tainted coins
by
Z-tight
on 02/04/2023, 13:40:05 UTC
One possible solution to this problem is to use a third-party service that can verify the origin of a Bitcoin transaction. These services will flag any transaction that has been involved in illegal activities so that users can avoid it.
Do you mean using third party services like Binance to hold your BTC because you are worried about 'tainted coins', sorry, but i will pass that one, the risk that comes with using third party services to hold your BTC is far greater than the worry about 'tainted coins'. How many times have we read of third party services knowingly helping money launderers and fraudsters to hide the source of their money, they only declare the ones they want to, or when the radar of the authorities is on them, so do not believe that these services are saints in the network that help keep the network safe, it may even be the opposite.

If you use BTC and you are not a criminal, neither are you a money launderer, you don't have to worry about tainted coins, the correct thing for the authorities to do is to flag the initial address than first received the stolen money, and from there begin their investigation. If they don't and the funds keep changing hands and gets to you, i don't think you can be prosecuted for that.