Comment: bitcoin forensics

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bitcoin forensics

Bitcoin wallets are anonymous until you try to conduct business. This is because every BTC transaction is a matter of public record.

If I wanted to find out who you people were I might watch the blockchain for twilson1utk and wait for him to send roughly 0.000468 BTC ($3 usd) into 10 different accounts. 000468 exactly 10 times is unique and can be spotted.

After I see this, then I know 2 things. (1) I know the 10 corresponding BTC addresses are all dailypaulers, most of whom will probably post here and identify themselves, anyway (2) that the source wallet is twilson1utk.

Because the blockchain is public record I can follow you 10 people forever. It can be tedious work accomplished by one individual, or automated work accomplished by a script or program.

You could try tumbling your address, but if someone has the resources to track your transactions through the blockchain, it is not likely to be effective, particularly if I am the person running the tumbling service.

Also to note is tumbling is used to hide the actual origin of a bitcoin. If you know the origin before it tumbles (which we would in this case), then tumbling does nothing.

The point is that as soon as you attempt to cash them out somebody is going to be able to figure out your identity.

If you trying to stay anonymous, you might be better off finding $3 in your laundry basket and spending it where your transactions are not automatically recorded.