How to sell Bitcoin anonymously by changing the address

Protect Your Privacy

Bitcoin is often viewed as an anonymous payment network. However, in fact, Bitcoin is arguably the most transparent payment network in the world. At the same time, Bitcoin, if used correctly, can provide acceptable levels of privacy. Always remember that it is your responsibility to follow proper practices and protect your privacy.

To sell Bitcoin anonymously, change addresses every time

Bitcoin operates with an unprecedented level of transparency that most people are not used to. All transactions are public, traceable and permanently stored on the Bitcoin network. Bitcoin addresses are the only information used to determine where bitcoins are stored and where they are sent. These addresses are generated with by the wallets of each user, and they are generated anonymously.

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However, once the addresses are used, they become contaminated with the history of all the transactions they have participated in. Anyone can easily view the balances and all transactions of each address. Due to the fact that users generally have to reveal their identity in order to receive services or products, Bitcoin addresses cannot remain completely anonymous. Therefore, Bitcoin addresses should only be used once, and users must be careful not to reveal their addresses. If they care about their privacy, that is.

Use New Addresses to Receive Payments

To protect your privacy, you should use a new Bitcoin address every time you receive a new payment. Additionally, you can use many different wallets for different purposes. This way you will isolate each transaction in such a way that it will be impossible to link them all together.

The people who send you money cannot see what other Bitcoin addresses you have and what you are doing with them. This is perhaps the most important piece of advice you should keep in mind.

Be careful with public places when selling BTC

Unless you intend to receive public donations with full transparency, publishing your Bitcoin address in any public space (such as a website or social network) is not a good idea when it comes to privacy. If you choose to do so, always remember that if you transfer any funds from that address to another, they will be tainted with your public address history.

Additionally, you may also want to be careful not to post information about your transactions and purchases that could allow someone to identify your Bitcoin addresses.

Your IP address may be logged when selling Bitcoin

As the Bitcoin network operates on a peer-to-peer basis, it is possible to listen for transaction transmissions and log their IP addresses. Full node programs route all users' transactions just like their own. This means that finding the source of any transaction can be difficult and any Bitcoin node may be mistaken for that source. You may want to consider hiding your computer's IP address with a tool like Tor so that it cannot be logged.

Mixing Site Limitations

Some websites, called mixing sites, offer to mix traceability between users by receiving and sending back the same amounts using independent Bitcoin addresses. It should be noted that the legality of such services may differ and be regulated by different jurisdictions. 

Such services also require you to trust their suppliers that they will not lose or steal your funds, and that they will not keep a log of your requests. Remember that mixing can be quite dangerous, considering there is a higher general percentage of scams in the crypto community than elsewhere. Thorough research is crucial when you dabble in cryptocurrencies. We recommend reading up on anonymous Bitcoin mixers.

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Also, while mixing sites can break the traceability of small amounts, it becomes increasingly difficult for larger transactions.

The future of selling Bitcoin anonymously

Expect many privacy improvements in the future. For example, some steps have already been taken with API payment messages to prevent multiple addresses from being associated with each other during payment. Bitcoin Core change addresses may be implemented in other wallets over time. Coins such as Beam are being developed - these offer full anonymity.

The graphical interface can be improved to provide the user with convenient payment request functions and to discourage the user from reusing the same addresses. Various work and research are being carried out to develop other potential extended privacy features, such as the ability to link random transactions from different users together.