Post
Topic
Board Bitcoin Technical Support
Re: How to have reasonable privacy safely when paying?
by
apogio
on 09/02/2024, 11:48:16 UTC
It is an issue the moment the person sends the coins that they received from you into an exchange. When they get asked what is the source of these coins, they will just point to the previous transactions, and now you are the next target on the line for whoever is investigating that. So it doesn't matter what you don't care about, and yes, we are innocent until proven guilty, but why would you want to expose yourself to that risk?. You should just make sure that any coins you send are not tainted while maintaining your privacy. The question is, how to even go about that.

This is a never ending cycle and you shouldn't really care. Do you own coins from illegal activities? The answer is, you don't know, perhaps... So since you are not sure, is there really a reason to pay all these fees to "clean" the coins? I hate the term "clean" and "dirty" coins, I just use it to be more easily understood.

Now, to your initial question:

What you can do is:
1. generate a hot wallet on Android (for example BlueWallet, Electrum or any wallet of your liking). You will use this wallet for payments.
2. generate a hot wallet on Sparrow. This will be your mixing wallet, where you will send funds to be mixed. You will need to create the Whirlpool accounts. You can now implement coinjoins from the Deposit account of this wallet. The outputs will go to the Postmix account. Then you can move them -doing proper coin control without mixing the outputs together- from this account, straight into your step (1) wallet (aka the payments wallet).

Second thoughts:
1. High fees, for no reason, in my opinion.
2. Extra hassle for proper coin control. Other wise the coins will be linked together and it will prove common ownership.
3. More wallets = more backups = extra hassle to find secure backup locations.