As soon as that "tainted" banknote enters the banking system, you're fucked. They will freeze the money and the police will interrogate you where you got it from.
It's the same thing with satoshis (each one has a serial number based on the order in which it was mined, that's how Ordinal NFTs are created). BTC is electronic cash (which has pros and cons).
Tainted banknotes are like a hot potato. The last person who gets them and decides to deposit them in a bank is royally fucked.
It's the same thing with satoshis (each one has a serial number based on the order in which it was mined, that's how Ordinal NFTs are created). BTC is electronic cash (which has pros and cons).
Tainted banknotes are like a hot potato. The last person who gets them and decides to deposit them in a bank is royally fucked.
This argument actually strengthens my opinion that cash and bitcoin are both fungible.
If you are afraid, the solution is super simple:
(1) Don't deposit the cash in a bank, just use it to buy something.
(2) Don't send your BTC to a CEX, just use it to buy something.
Well in fact:
(a) Self-custody your bitcoin.
(b) Use it as it's supposed to be used, as a cash system.
Just to make some fun, I hereby volunteer to accept any coins anybody thinks are "tainted". If anyone is desperate to get rid of them, I am here. That's a joke obviously, in case anyone is super sensitive and gets mad about it
So if someone gets "tainted" money from you and deposits it in a CEX/bank (some people want to liquidate BTC for fiat, or buy instantly BTC with fiat), then you should expect a call.