SeekerErebus on Nostr: Have you used #Loop? Whenever discussions about bitcoin and kyc come up, I'll often ...
Have you used #Loop?
Whenever discussions about bitcoin and kyc come up, I'll often see comments about Coinjoins with Whirlpool, or more about just not using kyc. These are great of course, but I rarely see comments on my favorite way to deal with kyc bitcoin, that being Loop.
Step 1: Have a lightning node. Great idea generally.
Step 2: Get on-chain bitcoin. Preferably above 0.01 BTC. Let's assume it's tainted with kyc.
Step 3: Make a lightning channel with a well connected node. ACINQ, Wallet of Satoshi, breezy, someone with very high connectivity.
Step 4: Loop out all of the funds from that channel to cold storage, except the channel reserve and active funds you're gonna use for zapping people/buying goods.
Congratulations you just broke all on-chain trace of where the hell your money has gone. And that's not all. You can come along and loop-in -> loop-out more kyc funds later, and those are even better off because they aren't indicated to be part of a channel with any connection to you.
As for fees, I haven't done a direct side-by-side comparison against whirlpool in a while, but it averages 0.35% for each side, or about 0.7% to loop in and then loop funds out.
Hope you find it useful.
Whenever discussions about bitcoin and kyc come up, I'll often see comments about Coinjoins with Whirlpool, or more about just not using kyc. These are great of course, but I rarely see comments on my favorite way to deal with kyc bitcoin, that being Loop.
Step 1: Have a lightning node. Great idea generally.
Step 2: Get on-chain bitcoin. Preferably above 0.01 BTC. Let's assume it's tainted with kyc.
Step 3: Make a lightning channel with a well connected node. ACINQ, Wallet of Satoshi, breezy, someone with very high connectivity.
Step 4: Loop out all of the funds from that channel to cold storage, except the channel reserve and active funds you're gonna use for zapping people/buying goods.
Congratulations you just broke all on-chain trace of where the hell your money has gone. And that's not all. You can come along and loop-in -> loop-out more kyc funds later, and those are even better off because they aren't indicated to be part of a channel with any connection to you.
As for fees, I haven't done a direct side-by-side comparison against whirlpool in a while, but it averages 0.35% for each side, or about 0.7% to loop in and then loop funds out.
Hope you find it useful.