Silk Road forums

Discussion => Newbie discussion => Topic started by: Tamiflu on March 26, 2013, 09:34 pm

Title: Dwolla
Post by: Tamiflu on March 26, 2013, 09:34 pm
Wondering if anyone has thoughts on using Dwolla to purchase BitCoins (as opposed to a cash-deposit method on BitInstant)?  I'm thinking of doing:

Dwolla > BitInstant > Mt.Gox > Tor Instawallet > BitcoinFog > 2nd Tor Instawallet > SR Wallet.

Any security or anonymity concerns with that?
Title: Re: Dwolla
Post by: taking_the_piss on April 04, 2013, 03:38 am
I'm a newb, looking to fund an SR wallet, but not excited about cash transactions at Wal-Mart using a fake name. It might come to that, but I've started a Dwolla account and I'm trying to figure out if it's going to be of any use.
Title: Re: Dwolla
Post by: CannabisCrew on April 04, 2013, 05:16 am
Wondering if anyone has thoughts on using Dwolla to purchase BitCoins (as opposed to a cash-deposit method on BitInstant)?  I'm thinking of doing:

Dwolla > BitInstant > Mt.Gox > Tor Instawallet > BitcoinFog > 2nd Tor Instawallet > SR Wallet.

Any security or anonymity concerns with that?

I'm also curious about this. If you get further along please share your findings (ups/downs to this method)

Thank you and best wishes
Title: Re: Dwolla
Post by: Tamiflu on April 04, 2013, 06:32 am
I'm also curious about this. If you get further along please share your findings (ups/downs to this method)

Thank you and best wishes

I don't think I can give you the ups and downs of this method, given that the down would be "my ass got busted."  But I would modify what I wrote above to replace the two "Tor Instawallets" with offline/paper wallets using Blockchain.info.  Blockchain wallets require javascript (which is a security risk), but if you're running their site offline from the time you start the javascript through generating the wallet address and private key, followed by closing your browser and/or restarting TAILS, I don't see a huge issue.  Anyway this modification would just make for a lower-risk method of storing your coins than instawallet which seems to have had some security issues of late.

Then again, I'm a n00b, so take it for what it's worth.
Title: Re: Dwolla
Post by: CannabisCrew on April 04, 2013, 01:14 pm
Good point. Thanks for the honest perspective. I never keep an identity for longer than 10min anyways. Best wishes bro!
Title: Re: Dwolla
Post by: Tamiflu on April 05, 2013, 01:37 pm
So quick update:  In trying this method and then conducting a taint analysis on both the second paper wallet and the SR address, there is no trace of any of the originating BC addresses.  Looks like it worked fine.
Title: Re: Dwolla
Post by: Jack N Hoff on April 05, 2013, 01:45 pm
YOU ANALYZED A TAINT? GOOCH? YUCK!
Title: Re: Dwolla
Post by: Tamiflu on April 05, 2013, 02:38 pm
Lol...  From blockchain.info's FAQ:


Quote
What is taint?

The taint is the percentage of funds received by an address that can be traced back to another address. An example of a taint analysis is: https://blockchain.info/taint/1dice6GV5Rz2iaifPvX7RMjfhaNPC8SXH
Title: Re: Dwolla
Post by: cantharidin on April 05, 2013, 02:54 pm
My problem is with the delay in Dwolla (or Coinbase) between committing to buy, transferring money, and getting the coins.  Who knows what a bitcoin will be worth in 3 days?
Title: Re: Dwolla
Post by: jerryskid on April 05, 2013, 03:04 pm
Wondering if anyone has thoughts on using Dwolla to purchase BitCoins (as opposed to a cash-deposit method on BitInstant)?  I'm thinking of doing:

Dwolla > BitInstant > Mt.Gox > Tor Instawallet > BitcoinFog > 2nd Tor Instawallet > SR Wallet.

Any security or anonymity concerns with that?

i advise that you avoid dwola, they require you to send a copy of a valid state id with the SAME name that the account is created with. They take longer to transfer btc, when transferring bank to dwola, it can take 5-7 business days. Plus they report transactions over a certain amount. If you do not care about anonymity, speed, or ease of converting to btc, or back to $ than go with dwola. i actually walked away with btc in an account because they did not think my driver license was enough id, they wanted MORE, and i had the account for a few months and when i hit a certain level they wanted more info.....imo fuck dwola. Good Luck
Title: Re: Dwolla
Post by: Tamiflu on April 05, 2013, 05:45 pm
Assuming you already have a Dwolla balance, the time it takes is fairly minimal.  Using BitInstant you can have coins within 15 minutes.  And while yes, the linkage of your ID shows that YOU purchased BTC (or at least transacted with a BTC exchange), that is the extent of information on you.  If you use a good mixing service, and a couple of intermediate wallets, there's no trace back to your original account.

Tracking of BTC transactions or Dwolla is really an issue when you're bringing money BACK.  The government wants to know where that money came from so they can ensure you're paying tax on it.  When it comes to outflows in BTC (at least to my knowledge), there are no real issues.
Title: Re: Dwolla
Post by: PurplePeopleEater on April 05, 2013, 06:10 pm
I'm still waiting for the 30 day period after I transfer money into dwolla.  Is using dwolla bitinstant mtgox easier than just putting from dwolla-bitinstant-presrwallet? 
Title: Re: Dwolla
Post by: Tamiflu on April 06, 2013, 01:38 am
I'm still waiting for the 30 day period after I transfer money into dwolla.  Is using dwolla bitinstant mtgox easier than just putting from dwolla-bitinstant-presrwallet?

I'm not sure what exchange rate bitinstant gives you directly which is why I've never tried it.  But going from Dwolla to MtGox via BitInstant takes <20 minutes.  Buying BTC on Mt Gox takes maybe 5 min, and then you're ready to transfer to another wallet or mixing service.
Title: Re: Dwolla
Post by: taking_the_piss on April 06, 2013, 01:57 am
Tamiflu - Based on what you've learned, do you see a problem with:

Dwolla > CampBX > >>anonymous / someone else's blockchain wallet >SR

Do I need the bitcoin fog and a second wallet?
Title: Re: Dwolla
Post by: Tamiflu on April 06, 2013, 10:32 pm
Tamiflu - Based on what you've learned, do you see a problem with:

Dwolla > CampBX > >>anonymous / someone else's blockchain wallet >SR

Do I need the bitcoin fog and a second wallet?

Problem is, without a mixing service, you can always trace the chain of transactions back to the original CampBX wallet.  If you're using Dwolla, I think you really need a mixing service in the chain.  If you're using cash deposit with BitInstant, and can do so under a fake name (i.e. at Walmart), then the method above would probably be fine.
Title: Re: Dwolla
Post by: MаdBob on April 06, 2013, 10:37 pm
what u think im a bitch?