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Bitcoin privacy basics: don't dox yourself on-chain

Every Bitcoin transaction is public forever. That doesn't mean your life has to be. A few habits make a huge difference.

Bitcoin is often called anonymous. It isn't. It's pseudonymous: your name isn't on the chain, but every transaction is, forever, and chain analysis companies are very good at connecting the dots.

The good news: most leaks come from a handful of habits you can change.

Use a fresh address every time

Reusing an address glues all your payments together. Modern wallets give you a new receiving address automatically. Use it.

Watch where your coins come from

Coins bought on a KYC exchange are tied to your ID from day one. Anyone the exchange shares data with can follow them to wherever you send them. If privacy matters for a payment, don't send straight from an exchange.

Use coin control

Good wallets like Sparrow let you choose which coins you spend. Don't mix your KYC coins with your private ones in the same transaction, or you've linked them for good.

Run your own node

When your wallet talks to someone else's server, that server can learn your addresses and balance. Running your own node, or connecting over Tor, keeps that to yourself.

Know when to use Monero

For payments you really want private, swapping a bit of BTC into Monero is often simpler than doing everything perfectly on Bitcoin.

FAQ

Is Bitcoin anonymous?

No. It's pseudonymous, and transactions can often be traced.

What's the simplest privacy upgrade?

Never reuse addresses, and don't pay directly from a KYC exchange.

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