wiki:PublicBitcoins

Bitcoins

Tachanka! accepts bitcoins. For the most security when using bitcoins, we recommend that you contact us first so that we can give you a new address to transfer the money to, but for the impatient, we provide one address that anyone may use:

14tCAEXv9XZ2R3jp9CqzLqh6xTT7owCpUt

Why do we recommend you contact us for a new address? Well, to fully understand this, we thought we should explain a little more about what bitcoins are and aren't.

Busting the myths

  • Bitcoin is anonymous

False. Bitcoin is not anonymous. It may be used in anonymous ways, but as has been indicated, it may be used in anonymous ways if the user knows the correct methods.

  • Bitcoins have no value

False. The "value" of bitcoins is supplied through the fact that people actually are using them! There are numerous online exchanges where bitcoins can be traded for 'real' money (of course, with fees attached!). One good site for tracking this is http://bitcoinity.org/markets which shows recent trends as well as the current exchange rate against different currencies.

  • Bitcoins are not as safe as traditional methods for transferring money

False. Bitcoins are perhaps even safer! In pragmatic terms, however, banking systems are much of a muchness: most of the weaknesses are in the humans who are involved. As the transfer of bitcoins relies only on the sender and receiver to input addresses correctly, there are fewer humans involved than might be employed in the traditional banking system, hence less chance of an error occurring.

Preserving privacy with bitcoins

Despite what was said above about privacy, we still believe that bitcoin can offer better privacy preservation than traditional methods of transferring money. Specifically, there is less monitoring - as it is not centrally regulated by any single entity - and there is arguably more anonymity, too, especially if combined with other means such as using tor and never associating online activities with your real identity.

One generic way of providing some obfuscation is, once you've exchanged your local currency into bitcoins, to then pass them around between a number of different 'wallets' before transferring them onto someone else. Unfortunately, this is just obfuscation, as several research papers (pdf) indicate.

A better way can be to trade Bitcoins locally, paying by cash, not providing your real identity. Make sure you buy from someone with a positive track record and you have checked the latest exchange rates.

An alternative is to use an intermediary (or, more than one!) to transfer money from your home currency into bitcoins. For example, if you live in the UK, you can use TransferWise to transfer money from your account to a EUROs account run by a bitcoin exchange - for instance, bitstamp.net, who have lower rates than Mt Gox (the biggest online bitcoin exchange). Using this method, TransferWise would know the bank details of origin - and hence who was transferring the money, even if you used a pseudonym - but the 'final destination' (i.e. bitstamp.net) would only be presented with the information of TransferWise. Thus, if the bitstamp.net account is registered anonymously (for instance, an account created from a net cafe over Tor), then maximum privacy would be ensured.

This method can also be fully anonymous if you buy Ukash, Paysafecards or prepaid credit cards in the streets (usually in small shops), where you should be able to do so without providing your identity. These can then be exchanged to bitcoins at Virwox.com (by intermediary exchange to Linden Dollars), or, often cheaper, by trading over the counter. Obviously the intermediary exchange account shouldn't be registered on your identity for this approach to provide anonymity.

The above information may get outdated more or less soon. So also check the bitcoin.it wiki on how to buy bitcoins and, based on it, develop your own approach to do so anonymously. Cash deposits (also discussed there) can work well if they can be anonymous.

Last modified 22 months ago Last modified on 02/26/17 21:49:31