How does a Bitcoin anonymizer work?
The principle of a Bitcoin anonymizer is to entirely erase the connection between sent and received Bitcoins. To achieve this, Bitcoin anonymizer takes advantage of an anonymous cryptocurrency, such as Monero.
During the anonymization process, Bitcoins are converted (exchanged) into Monero, becoming wholly untraceable and anonymous. Once converted to Monero, the funds are transferred back to Bitcoins. When the transaction is complete, the link between the original Bitcoin and the new, anonymized Bitcoin, is erased.
To learn more, please read our article How does a Bitcoin anonymizer work.
Is anonymous currency, such as Monero, really anonymous?
Absolutely. Monero is one of the best privacy coins in the industry. Even though it is not as advanced as its alternatives, Monero's primary focus is on privacy. Thanks to a handful of security and privacy features, Monero is the anonymity-oriented digital currency of choice.
To deliver the highest level of privacy, Monero employs dozens of sophisticated cryptographic methods, including enforced privacy, stealth addresses, confidential ring transactions, ring signatures, bulletproofs, separate transaction units, and IP obfuscation technology Kovri.
To learn more, please read our article Monero privacy.
Shall I use anonymous cryptocurrency instead of Bitcoin, then?
There are dozens of dedicated privacy coins, that would make much more sense to use. However, the truth is that Bitcoin is the most reliable and widely supported cryptocurrency of all.
If you need an extra level of anonymity and can use a privacy coin, such as Monero, then go ahead. If you need to stick with Bitcoin, then we recommend anonymizing it thorough a Bitcoin mixer, or anonymizer.
To learn more, please read our article Monero vs. Bitcoin.
Is Bitcoin anonymization better than mixing?
Absolutely. Anonymizing Bitcoins through a privacy coin, such as Monero, is the most effective way of concealing the transaction history. The only downside is the higher service fee, typically around 5%, that needs to cover both the transaction fees as well as exchange fees (Bitcoin to Monero and back). However, if you need an extra layer of privacy, then the additional cost is undoubtedly worth it.
Is Bitcoin anonymizing safe?
Unfortunately, not all Bitcoin anonymizers are reliable. Low security, poor encryption, and weak infrastructure are the most common problems that Bitcoin mixers face. Even though it seems technically simple, developing a secure Bitcoin anonymizer is not easy.
To learn more, please read our article Is Bitcoin mixing safe.
What's the best Bitcoin anonymizer?
With many anonymizers on the market today, it can be quite tricky to choose the best bitcoin anonymizing service. Therefore, use Bitcoin anonymizers that:
- let you anonymize Bitcoins without requiring registration, email address, or other information,
- provide an onion (Tor browser) version,
- remove all transaction logs immediately after mixing your coins,
- have regular Terms and Privacy policies,
- let you anonymize as little as 0.01 BTC,
- need only one confirmation before they anonymize your Bitcoins,
- provide a delayed payout that prolongs the time before the anonymizer sends you the coins back,
- let you check the status of your transaction,
- provide proper customer support.
Is Bitcoin anonymizing legal?
Governments and authorities do not want you to use tools or services that help you to make your cryptocurrency transactions untraceable. This includes both Bitcoin mixers and Bitcoin anonymizers. Even though Bitcoin anonymizing is not explicitly illegal, it's undoubtedly not desired by the authorities.
Therefore, when it comes to using a Bitcoin anonymizing service, it is your sole responsibility to comply with all applicable laws and regulations in your country.
To learn more, please read our article Is Bitcoin anonymizing legal.