How is it really free and decentralized if most exchanges or brokers ask for your real lnfo like some kind of official lD or documents just to get some Bitcoin?
I can remember very well that we have custodial and non custodial wallets, if you're the type that uses a centralized exchange, then your address can be traced down to your identity on the exchange were you provide all your kyc information, but we have a ways of running a full node transaction which permits for privacy, the essence of bitcoincore and the likes.
Doesn’t that mean all your transactions can be tracked and traced back to you?
Transactions are only open on the distributed ledger, they cant be altered, what determined if these transaction are being traced to your personal identity is when you're able to define the kind of wallet you use for those transaction.