Anonymity and Currency

Contrary to popular belief, Bitcoin is not a completely anonymous currency.  It is deemed a pseudonymous currency, which means when you send and receive coins you do so under a pseudonym. Additional measures can be taken to increase one’s anonymity but this may be a turn in the wrong direction. The world would benefit most from a currency that can authenticate one’s identity in a transparent matter. The only way to drastically cut down on fraud and financial terrorism is by making the currency tamper-proof and the flow of it transparent. A lot of individuals may say this is a breach of privacy, and just a year or two ago I was one of those people.

Visual surveillance will increase the quality of life in our society. As we see more police officers wearing cameras, they are less likely to break the law. Criminals of all kinds are less likely to break the law if they think they are being watched. The same exact thing will happen in the financial industry. A terrorist or human-trafficker will not use a currency that is so easily traced, they will most likely continue using something such a Bitcoin, Fiat currency (like the US Dollar), or tangible items. What if we got rid of Fiat currency and abandoned Bitcoin in favor of a more responsible currency? That would make a criminal’s life much more difficult when doing business.

A lot of people may say that the ‘terrorist or CP argument’ could be made to start censoring the internet. But I fall on my previous paragraph which states that we need to make it more transparent and accessible so that it can be monitored. Tor is to the internet as Bitcoin is to currency. A lot of criminals (and legitimate people who just want to score some weed or whatever substance they’re looking for) use Tor so they can get just about anything they want. Tor, just like Bitcoin, is pseudonymous. Bitcoin should be used by criminals (since there is no going back to a time when Bitcoin doesn’t exist) and whoever else has something to hide (intelligence agencies – the Navy invented Tor by the way). That way a majority of the intelligence and auditing agency’s time and money can be spent tracking/tracing who’s doing what on these underground networks.

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