I think you are trying to tell me what works to subvert the system. Each time I am trying to explain, someone comes back and tells me how easy it is to subvert the system of blacklists and whitelists. That you can deploy p2p mechanism to overcome or any other methods (there are 2 more which are far more private and safer for the time being)
1) This is NOT the point. A permissionless system doesn't even have the concept of blacklist and whitelists. What you can do to overcome it is meaningless. The point is that it has permissions now built around it just like TradFi. The lack of fungibility and private design makes it possible to enforce blacklists and whitelists. Whether you are able to subvert it is a different issue. Fiat doesn't impose restrictions in itself. It's architecture allows for making it happen and human elements to enforce it. Same in BTC now and much much tighter going forward.
2) It is not easy. You would have taken me up on that $1 bet to have more productive demonstration. Instead you saw what I was asked to do instead.
Just because fiat is bad and permissioned doesn't mean there are no ways to beat the fiat system either. E.g if someone's bank account is seized, they can try to open another bank account and or other such methods. They *can* overcome many restrictions or whitelist and blacklist in tradfi too. It doesn't make fiat permissionless. In fact it is far easy to do things privately and without permission in TradFi than in BTC.
Similar weaknesses in protocol and increasing innovation is BTC tracking and surveillance make the arguments for permissionless weaker and weaker over time and is false advertising. The Canadian truckers fiasco was another such big incident of p2p transactions to bypass bank restrictions failing. Donors have been tracked, funds seized etc.
I am not sure why you are trying to defend BTC and what you might have read yourself as a marketing jargon, didn't think about understanding it, and are now recycling it verbatim. It makes no difference to BTC price. It is ok. I think this is why Tether needs to completely go to zero as well. It will reduce the stupidity and arrogance of the sector somewhat and more rational discussions across internet or otherwise and bring real adoption. Until Tether melts, a "Bitcoiner" could be anyone these days trying to personify arrogance as a way to give back to the tribe.
First of all...if your bank account is seized, you're fked, period. You can open another bank account but you're still flat broke. You cannot seize a BTC wallet unless you were stupid enough to leave your coins on an exchange.
There is a story of a convicted criminal who used malware to mine BTC through a botnet. He got caught, he spent his time in jail but because he never told anyone his private keys, he still owns the BTC. Try to seize something that is a number in your head.
Second, you're probably pretty new to the game, because when I started in 2015 there wasn't even KYC/AML on exchanges and the credo was and still is: Not your keys not your coins.
Back then exchanges were a security issue so nobody would have been stupid enough to transact through exchanges unless you want to trade.
Everyone with half a brain trades on exchange and withdraws right away and you usually use multiple exchanges.
You need to stop viewing this asset class through a TradFi lens. Just because there has been built a gammut of service providers in this market does not mean you have to use any of this.
If you want to get your hands on clean (meaning never transacted) BTC, you can just ring up a miner and buy it directly from the source. Delivery after payment or escrow, peer2peer, no exchange, no prime broker, no other counterparty involved....given you trade size.
And if you are a small fry piker, just use the various P2P platforms like HodlHodl, Paxful, etc. or swap your stuff on a DEX like Uniswap or 1inch. Again, no 3rd party required.
If you need cash to pay bills, you take out a loan and back it up with crypto. Lending/borrowing can be done via DeFi, too vs. stables. If you don't want to, you don't need to interact with traditional fincance at all. You don't ever need to sell any of your crypto if you don't want to. But you need to know how to run a portfolio, juggle interest rates and hedge yourself so your networth in crypto as well as USD isn't exposed to volatility.
And by the way, I'm not trying to defend anything. I'm in this market since derivatives trading started on Bitmex and I had the advantage of knowing a thing or two about markets. Despite not being a HODLer it was extremely easy money and still is today.
I probably made all the mistakes when it comes to trading, transacting and custody. I don't know how many people here on ET ever used a 1st generation Trezor that had insane security issues. I still have that piece of shit on my desk.
Believe me, when you apply best practises you'll never ever need an exchange to do business for you and that's how it's meant to be. It's just difficult to learn.
Of course, you have your opinion and you could stick with it. I just know from experience that it is not true....there is a difference between hearsay and reading tweets and putting money on the table to try it.
