Centralized or decentralized crypto exchange?

[E-Feezy]

I was wondering if I need to use a decentralized exchange like trust wallet or can I just use an exchange like coinbase or voyager to buy from a source? Does it matter?

 

[MadBret]

It's more private if you buy from a p2p exchange but if you use Coinbase etc. you should first send to a private wallet of your own and then send it to your source.

Some guys risk it and send directly from Coinbase but if the address you send to gets flagged later, you may have your account closed. Better to be safe than sorry and send it to your own wallet first.

Here's a pretty good article I read earlier today talking about Bitcoin, the black market use of it and the unfortunate lack of privacy that it generally entails.

https://bitcoinmagazine.com/markets/bitcoin-is-losing-favor-on-darknet-markets

 

[Hollow123]

It's more private if you buy from a p2p exchange but if you use Coinbase etc. you should first send to a private wallet of your own and then send it to your source.

Some guys risk it and send directly from Coinbase but if the address you send to gets flagged later, you may have your account closed. Better to be safe than sorry and send it to your own wallet first.

Here's a pretty good article I read earlier today talking about Bitcoin, the black market use of it and the unfortunate lack of privacy that it generally entails.

https://bitcoinmagazine.com/markets/bitcoin-is-losing-favor-on-darknet-markets

What’s the rationale on sending from coinbase to another wallet and then onto the source? Surely you just look at the transactions on the blockchain? Just like moving money through bank accounts, easily traceable

Ideally you want to be purchasing through a non KYC exchange, or just use XMR

 

[MadBret]

What’s the rationale on sending from coinbase to another wallet and then onto the source? Surely you just look at the transactions on the blockchain? Just like moving money through bank accounts, easily traceable

Ideally you want to be purchasing through a non KYC exchange, or just use XMR

It's not private but it gives a layer of plausible deniability. And like I mentioned, if you send directly from Coinbase or whichever big exchange, you risk having your account banned if the address you sent to is later tied to some shady shit.

Xmr is certainly a better option but not as widely used or accepted.

The following is a quote from the above article that I linked.

WHAT CAN WE DO TO FIX THIS?
I can not stress enough how important it is that we have decent privacy on Bitcoin that everyone can take advantage of. The solution is within Bitcoin’s culture and community. There are app-level privacy upgrades that can be standardized to improve overall privacy on the network.

CoinJoins of all sorts, stealth address solutions like silent payments and BIP47, and encouraging users to run their own node and use non-custodial and open-source software where they can.

When transacting, make sure it’s peer-to-peer and not through an exchange or other intermediary. Never use a custodial wallet — you can not ensure your privacy if you count on a third party to take care of it for you. Also, when acquiring bitcoin make sure to use a non-KYC (know-your-customer) exchange. Otherwise, your data and privacy could be at risk.

My advice is to do your own research and make sure to take every precaution when using bitcoin to ensure your own privacy.

The more people that use bitcoin privately, the better privacy everyone gets, and the more likely it is that bitcoin will emerge again as the prominent currency of the darknet markets, and consequently of other markets too.

 

[MadBret]

@5scoops
What are you laughing at, Corky? I envy people that have never met you.