Silk Road forums
Discussion => Security => Topic started by: 08957jh3948 on February 09, 2012, 08:11 pm
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I was planning on going through dwolla and mt gox, but then I am using my bank account to buy them. However, since there are many legitimate uses for bitcoins and they essentially untraceable, do I even need to worry.
where do u get urs from assuming u are not mining them?
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I was planning on going through dwolla and mt gox, but then I am using my bank account to buy them. However, since there are many legitimate uses for bitcoins and they essentially untraceable, do I even need to worry.
where do u get urs from assuming u are not mining them?
I also use Dwolla. But, I stay away from MtGox. They have let it be know that they will always help LE. They also will freeze your account if you use TOR. Assuming that your laundering money or some other illegal activity. I use Tradehill instead. I can access Tradehill using TOR without problems. I transfer $ from Dwolla to Tradehill and then purchase my Bitcoins there. I then transfer them to SR. SR tumbles them prior to entering them into your account.
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However, since there are many legitimate uses for bitcoins and they essentially untraceable, do I even need to worry.
Bitcoin transactions are not untraceable, in fact they're completely traceable by anybody, and this is by design.
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Here's a link to a guide I wrote up. Feel free to skip to the bitcoin sections.
http://dkn255hz262ypmii.onion/index.php?topic=9067.0
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Personally, I use GetBitcoin... You chose a bank branch, it gives you an exact amount to bring with you, you print an invoice (from a different computer than your own if you'd like), take the cash to the branch of your choice with said exact amount and it's transferred to the wallet of your choosing within a few minutes. I've used Dwolla before as well, but it can take anywhere from 3 to 5 days to get to your account.
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I like campbx.com, it's a reliable site for buying and selling BTC, but you have to add funds for first time buy with DWOLLA. There's other add funds options, but DWOLLA is the quickest.
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I used get-btc but they changed banks and there is unfortunately not one nearby. I also got tired of them seeming to charge the very highest rate for the entire day for the coins. I started an account with dwolla since they advertised instant everywhere and took the time to verify, but then they BS and instant is not available at this time, and it has been a long time now. I just can not afford to wait days for a transaction that should be instantaneous given the computerized banking methods these days. I would have missed out on the awesome sale, and feel for those who did.
I have found the best trade off for me, the most convenient, easiest, and quickest for the most reasonable value has been to use bitinstant.
I fund tradehill with cash deposit at bitinstant, which eventually costs about 5% but I have coins even faster than with get-btc in my experience. Get-btc has 24 bank acct deposit too but it costs 8% plus their inflated coin exchange rate so its a rip compared to bitinstant and seems like more of a record with banks.
I am grateful I decided to use TH and not Mt gox because without thinking I have signed on while using Tor, before reading Mt gox would have frozen my acct!
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I was planning on going through dwolla and mt gox, but then I am using my bank account to buy them. However, since there are many legitimate uses for bitcoins and they essentially untraceable, do I even need to worry.
where do u get urs from assuming u are not mining them?
Moneypak>btc. Simple.
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I was planning on going through dwolla and mt gox, but then I am using my bank account to buy them. However, since there are many legitimate uses for bitcoins and they essentially untraceable, do I even need to worry.
where do u get urs from assuming u are not mining them?
Moneypak>btc. Simple.
And easily scammed.
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What exactly is the risk of buying BTC and sending it straight to SR?
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.
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What exactly is the risk of buying BTC and sending it straight to SR?
Transactions are linked by design, you can check blockexplorer yourself. With that in mind, you are relying on SR's tumbler to be fully functional. What if it isn't? Well then LE contacts mt-gox or whever you buy your bitcoins fromm with the transaction address they could see was received by SR, and get all your info from there.
If get the bitcoins anonymously by cash (forexample Moneypak to bitcoins) and then you tumble the money yourself a few times, with a new tor identity every time, you should be good. Just split up the amounts you're tumbling so it isn't obvious you are the same person sending to yourself.
How would LE get the coins in the first place though?
Sorry, slightly confused.
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How would LE get the coins in the first place though?
By having compromised SR in some way or coerced DPR into helping them. Once they know a bitcoin receiving address belongs to SR, they trace backward though the blockchain to see if the trail leads to an identifiable account somewhere.
If you didn't originally buy your coins anonymously -- or didn't make them anonymous by mixing / pooling / tumbling before sending to SR -- they find an account linked to . . . you.
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How would LE get the coins in the first place though?
By having compromised SR in some way or coerced DPR into helping them. Once they know a bitcoin receiving address belongs to SR, they trace backward though the blockchain to see if the trail leads to an identifiable account somewhere.
If you didn't originally buy your coins anonymously -- or didn't make them anonymous by mixing / pooling / tumbling before sending to SR -- they find an account linked to . . . you.
OIC, Thanks for the info. Do you really think they would put that much effort into finding buyers?
Think you could explain mixing/pooling/tumbling better?
Thanks again,
res
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...Do you really think they would put that much effort into finding buyers?...
Possibly not, but no one knows for certain. Even if they were concentrating on sellers, I wouldn't depend on them ignoring any other (buyer) information that happened to fall into their laps. I think it's safest to be certain that your coins aren't traceable to you *before* they go to SR. That could involve either purchasing in an anonymous manner -- more difficult than you might think -- or breaking any link to you after purchase.
...Think you could explain mixing/pooling/tumbling better?...
The basic idea is to exchange the coins you purchased for those from (what at least *appears* to be) other sources.
An online wallet [ instawallet.org ] would be an example of what I think of as a pool. Over time, the coins you deposit are paid out to others making withdrawals from the pool. Your eventual withdrawal(s) from the pool would consist of coins that had been deposited by others, over time. How much time is required for this exchange to occur is not knowable in advance and is dependent on the size, number, and timing of your deposit(s) and withdrawal(s). Hence, it's probably wise to check the history of the coins you withdraw using Block Explorer [ blockexplorer.com ] to be certain you're not simply getting your own coins back.
Bitcoin Fog [ fogcore5n3ov3tui.onion ] is a bit closer to what I think of as a mix. The description of their (1%-3% fee) service [ bitcointalk.org/index.php?topic=50037.0 ] seems to say that the coins you withdraw from them may or may not have been pooled with those of others, but they will be made to *appear* so by use of multiple, scheduled, time-delayed transfers. (Checking the blockchain would probably be wise here, as well.) I can't vouch for or against them as I've never felt the need to pay them to do what I can do for myself using Instawallet.
Tumbling is a catch-all term in fashion here to indicate coin anonymization of some sort.
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Could someone provide a few links for some good BTC tumblers? Also, on the MP to BTC, almost double the cost of market value. Too expensive after the MP fees, and the fees of the seller providing the BTC
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I've used the following method so far on acquiring BTC.
I pay my friend in cash->He buys the coins for me with a bank wire from Mtgox->he then sends the coins to a Instawallet I have provided to him on a piece of paper->I send the coins a few times from a wallet to a few wallets(using TOR all the time)->and then finally send them all to my SR account and make an order.
What our your opinions on the safety of this method?