The FTX broker has demanded explanations from users who use a bitcoin mixer to receive transactions, although it is not wrong to use the tool. One of the concerns of users who resort to this practice is usually with their privacy. At a time when several countries pass data protection laws and the defense of privacy in a digital world, the topic has never been so important to be debated, since each person has the right to protect their information. Bitcoin itself was born in a movement called Cypherpunk, as an anonymous technology that protects its users. It is clear that there is a movement that criminalizes privacy led mainly by governments, which has even resulted in operations against mixers, these accused of being places of money laundering.
FTX demands explanations from users who use Bitcoin mixers
A Brazilian user and customer of the FTX brokerage told livecoins who in recent days was surprised by an unusual charge from the exchange. Gaining fame as one of the largest cryptocurrency operations in the world, second only to Binance, this platform is one more operating in Brazil. As the report told, the platform client was carrying out a negotiation to accept Bitcoin, and provided the brokerage address to receive the amount. The person responsible for processing the transaction then chose to use a mixer to protect their identity and not reveal their BTC possession. This is a common practice among secure transactions, since as the blockchain is public, by revealing its address, the network user could expose its balance and he did not want that. Upon receiving the transaction, however, the FTX customer’s address ended up being placed on an alert list. The broker quickly contacted the user and demanded explanations about the origin of the money, stating that this is part of the compliance policy. in conversation with the livecoins, the customer who prefers not to be identified said that he was concerned about the situation, as he could have had his account blocked if he had not been able to explain the operation. The user also warned that in the near future, people who use mixers may be incriminated and persecuted, even by platforms linked to the market. It is noteworthy that banks block brokerage accounts precisely claiming fear for the practice of money laundering, and Cade filed this Monday (25) a dispute between the institutions.
What did the exchange say to the customer after receiving transactions from the mixer?
The affected customer shared that when receiving a transaction from a mixer, the broker lights up the alert with the following message: “Dear Customer,
Thank you for the information and we will update your registration accordingly.
As a licensed and regulated cryptocurrency exchange, we must track all transactions and perform due diligence when necessary. This is done with the help of industry-leading third-party transaction monitoring tools to ensure the safety of our customers and prevent interaction with disallowed addresses.
We understand your concerns and advise that you, for your part, only make transfers with people and entities that you know and trust. Always make sure you know your counterparties before making transactions; We recommend that you transact with regulated platforms with an established compliance procedure (KYC/AML checks). Yours sincerely, FTX compliance.” It is worth remembering that the use of bitcoin mixers is not illegal, but apparently companies in the market itself have started to put suspicious eyes on the practice of privacy. O livecoins sought contact with FTX for clarification on the practice, but was unable to find those responsible to comment until the closing of this one.
