I'm torn, there's pros and cons.
Pros:
Easy
No purchase fees
No KYC exchange
Cons:
Accounting is tricky
Have to report it to the IRS
Not good for opsec
Redbeard's BTC For Beginners Datasheet
- Thread starter redbeard
- Start date
Pros:
Easy
No purchase fees
No KYC exchange
Cons:
Accounting is tricky
Have to report it to the IRS
Not good for opsec
If you want, that sounds like a decent plan. The only thing to keep in mind is that PayPal could shut down your account and lock your funds at any time. This happens with USD so it will happen with BTC as well. That's why it's best to put it on a self-custody wallet like Samourai so that you can actually own the coins, instead of an IOU from PayPal.
IM3000
Pelican
Redbeard, thanks for the write-up!
I understand why you say that everyone should buy cryptos anonymously. I'd like to use Bisq but I don't have the required 0.01 BTC. Is it possible to buy this amount at a centralized exchange like Kraken and then send it to the Bisq wallet or does this permanently stain any BTC purchase I'd do on there?
I understand why you say that everyone should buy cryptos anonymously. I'd like to use Bisq but I don't have the required 0.01 BTC. Is it possible to buy this amount at a centralized exchange like Kraken and then send it to the Bisq wallet or does this permanently stain any BTC purchase I'd do on there?
I would recommend against it. A clean slate is worth its weight in gold.
IM3000
Pelican
I have another noob question: You say that it's best to use the Samurai Wallet on a de-googled phone, correct? I understand why leading a google-free life is beneficial. However, wouldn't it just be possible to use any old android phone? I mean one without a SIM card and simply turn it on for a few minutes to transfer the BTC and then turn it off right afterwards. What do you think are the potential risks?
Great question. Yes, you can use Samourai on any Android phone. The application will run just as planned.
The only privacy concern is that Google could flag you as a Samourai user. I'm pretty sure they take a TON of data on all of their Android users, tied back to your Google account. This might not be the worst thing in the world, but imagine if Google starts working with the NSA to find Bitcoin users. They would immediately find anyone who downloaded a Bitcoin wallet and go find them. And if they know you used Samourai, they'll flag you as someone who uses CoinJoins, making it even easier to find you.
It's always worthwhile to think about the threat vectors involved. So in this scenario, the threat vector of blockchain analytics catching you is moot because you're using CoinJoin. However the risk of tying your identity to Samourai is real.
When you factor in that you can run a de-Googled pixel for a few hundred bucks, it makes sense to just bite the bullet and do it.
Robert High Hawk
Kingfisher
Agree on all points here, but the issue is where to get one? Not everyone has access to Craigslist.
No comment as I am US-based. eBay and Swappa might work.
This is a lot to take in
There are only two things in America that don't require id: crossing the southern border and voting.
Not necessary but recommended if you have the time & resources. The short of it is that if you use your own node, you don't need to trust Samourai's servers to query balances for you. It's useful but if I recall correctly, Samourai doesn't store IPs or any PII, so it's not that big of a deal. Here's the long answer:
kel
Ostrich
I've thought about this. Where do you exchange?
When were you on a boat? Who were you with? Where did you go? Why were you there?
These are the questions the IRS will be asking you, possibly at gunpoint depending how things go. I hope you have your answers ready!
Oompoppamowmow
Sparrow
Can you buy a pixel 3a from anywhere even if it’s a refurbished from amazon? Not finding any in my area on Craigslist.