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16/07/2025, 18:20:17 UTC POST DELETED
Original archived Re: [Anonymity] Can I get rid of KYC trace through Lightning?
Scraped on 09/07/2025, 18:20:26 UTC
Good day, everyone!

Firstly, I hope this is the correct sub-forum to post this question.

I'm not new to Bitcoin, but I'm a complete noob when it comes to Lightning network. I was playing around with various BTC/Lightning wallets on my phone and pondering a question. Say I have this scenario:

I buy BTC on a KYC exchange and transfer it (on-chain) to a hot wallet on my desktop. From there I transfer it (again on-chain) to Muun wallet on my phone. From Muun I pass it through Lightning network to Speed wallet, also on my phone and finally I send it (on-chain) to my final cold storage address. Neither Muun or Speed wallet have any KYC data (except knowing my phone number, I guess?). Is that one Lightning transfer enough to cut the trace or it is still somehow possible to associate the final address back to the original exchange?

Thanks  Grin

Moving BTC from a KYC exchange through the Lightning Network does not fully remove the KYC trace.