Bitcoin Money
Laundering

In this site we attempt to provide the simplest possible step-by-step instructions to help users

who are not familiar with Bitcoin Money Laundering process to do it safely.

Updated October 27, 2020 at 07:49 UTC

Bitcoin Dollar

what is bitcoin money laundering?

The semi-anonymous and decentralized nature of many cryptocurrencies has meant that authorities fear that certain platforms could be used for money laundering. The lack of regulation could mean that Bitcoin could be used for illegal activities by criminals, especially when offshore exchanges were available.

Still, dumb criminals are constantly caught for using Bitcoin in illicit activities. This is because Bitcoin is not anonymous. In fact, there are barely any cryptocurrencies on today’s market that are capable of masking identities when sending, receiving, and spending cryptocurrency.

Let’s take a quick look at the basic tools

what do you need for bitcoin money laundering?

You will need...
Bitcoin dirty
Bitcoin

"Dirty" Bitcons for cleaning

Anonymous TOR
Tor

Hide your IP

Bitcoin Mixer
Bitcoin Mixer

Bitcoin laundering

Monero
Monero

For extra security

Unregulated exchanges...

how does bitcoin money laundering work?

Bitcoin is easily laundered through unregulated exchanges.

Unregulated cryptocurrency exchanges (those without Know-Your-Customer and Anti-Money-Laundering (KYC/AML) procedures, such as identity checks) can also be used to ‘clean’ Bitcoin, even without using a cryptocurrency mixing service beforehand.

This is done by simply trading the Bitcoin a number of times across various markets. For example, a user can deposit onto an unregulated exchange, swapping it for various altcoins.

Each time a trader exchanges cryptocurrency for another, they are adding degrees of privacy similar to ‘hopping’ between wallet addresses. Although, how effective this is depends heavily on the exchange’s monitoring technology, so this might not be a totally airtight solution.

The user can then withdraw their cryptocurrency to an external cryptocurrency wallet via other anonymous exchange accounts they own. Depending on the exchange, they could convert it to allegedly ‘clean’ fiat, but fiat markets on unregulated exchanges are hard to come by, and often shortlived.

A few months back, researchers found unregulated cryptocurrency exchanges receive an overwhelming majority of the internet’s dirty Bitcoin. Even worse, the exchanges in countries where there is little-to-no AML regulations actually receive 36-times more Bitcoin from money launderers than those with appropriate rules in place.

Researchers estimated that after Bitcoin has been cleaned on exchanges, 97 percent of it ends up in countries with extremely lax KYC/AML regulations.

It’s also worth mentioning there are slightly less illegal (but still questionable) uses of these mixing services. In particular, regulated exchanges like Coinbase monitor their networks for possible interactions with prohibited cryptocurrency gambling sites.

As such, cleaning digital funds exposed to blockchain casinos before depositing to Coinbase and the like is an often-cited use-case, beyond the ultra illegal money laundering.

Let’s take a quick look at how you can do it

Exchange between bitcoin and fiat (very easy, for everyone)

Updated April 29, 2019 at 07:49 UTC

It is known that information is leaked or lost in hacks all the time. If you own a good stack of wealth in crypto currencies, the information used for KYC ( passport, selfie with passport and a utility bill from the last few months) can easily be used to track down who you are and where you live. After several reports of bitcoin traders already being attacked, tortured and kidnapped to steal their coins, it is more than understanable that you do not want your KYC verification information being leaked, stolen or published on the web or in darknet forums. This has nothing to do with you wanting to do illegal activities – you just take your privacy seriously and protect yourself and your family.

Black Bitcoin

Starting Point

You have Bitcoin

SellBitcoin logo

Action

Sell Bitcoin

Dollar Euro

Goal

You will have Usd/Euro

  • To get started, you’ll need the following:
    • The Tor browser or a similar Tor-enabled interface to anonymously access the web
    • A bitcoin wallet with the amount of bitcoin you want to sell
    • A basic understanding of how to send bitcoin and fund a wallet
    • Your destination Bank account (IBAN / SWIFT code) or PayPal Account

Sell your Bitcoin anonymously. We recommend sellbitcoin (they do not require any kind of id card or passport from you)

  • Once the process is complete, the money will arrive in your destination Bank account or PayPal Account.
  • Enjoy your money!

Do you like clean bitcoin?

2# Simply Method
Bitcoin to New Bitcoin

Mix Bitcoin (It will be fine for most)

Updated April 29, 2019 at 07:49 UTC

Also known as bitcoin tumbling and bitcoin laundering, bitcoin mixing uses a third-party service to break the connection between the source and destination of bitcoins. In this tutorial, we’ll show you the basics of how it’s done step by step.

To actually send or spend bitcoin anonymously, you’ll need to cover your tracks by using a wallet that can’t be traced back to you. In order to deposit funds into this wallet without leaving a trace, you need to “mix” the bitcoin. You can then use the mixed bitcoins to anonymously send or spend bitcoin.

Black Bitcoin

Starting Point

You have  Bitcoin

Action

Mix your coins

Clean bitcoin

Goal

You will have New bitcoin

  • To get started, you’ll need the following:
    • The Tor browser or a similar Tor-enabled interface to anonymously access the web
    • A bitcoin wallet with the amount of bitcoin you want to mix (We will refer to this as wallet #1)
    • A basic understanding of how to send bitcoin and fund a wallet
  • Create a second wallet, we recommend over the Tor network. (wallet #2).

Now for the crucial step: mixing your bitcoin. For this we’ll need to use a third party service. There are a litany of options out there. We now recommend UltraMixer

  • Once the process is complete, the Bitcoin will arrive in your wallet #2.
How Paranoid Are You?

3# Paranoid method
bitcoin to New bitcoin or Usd/Euro

Extreme  Security Measures for the  extra paranoid (for advanced users)

Updated April 29, 2019 at 07:49 UTC

You’ve covered the basics. You’ve checked off the more-than-basics. But you still can’t fight a nagging feeling that it’s not quite enough. At a certain point, if a nation-state wants to compromise your devices or your privacy badly enough, it’s going to find a way. You can at least make it harder for them. Here are a few measures designed to do just that.

Step 1

Bitcoin to Mixer

Step 2

New Bitcoin to Monero

Godex logo

Step 3

Monero to Bitcoin

Kraken logo

Step 4

Bitcon to FIAT

Mix your Bitcoin.

  • Electrum Wallet (Dirty Bitcoin) –> BitcoinMixer –> New Electrum Wallet (New Bitcoin)
      • Electrum via TOR 
      • BitcoinMixer via TorBrowser

Exchange Bitcoin (BTC) to Monero (XMR) using an exchange without KYC/AML

  • New Electrum Wallet ( New Bitcoin) –> SimpleSwap –>  MyMonero Wallet
    • Electrum Via TOR
    • SimpleSwap and MyMonero via TorBrowser

Exchange Monero (XMR) to Bitcoin (BTC) in a different exchange without KYC/AML

  • MyMonero Wallet –> Godex –> Electrum Wallet (clean Bitcoin)
    • Electrum via TOR
    • Godex and MyMonero via TorBrowser
  • Electrum wallet (clean Bitcoin) –> Kraken or Coinbase
    • Don’t use TorBrowser for Kraken or Coinbase (KYC/AML)
  • Exchange Bitcoin (BTC) to USD/EUR
  • Withdraw USD/EUR to your bank account

Testimonials

Bitcoin, Digital Cash Money.

Bitcoin is one of the most important inventions in all of human history. For the first time ever, anyone can send or receive any amount of money with anyone else, anywhere on the planet, conveniently and without restriction. It’s the dawn of a better, more free world.

Roger Ver

CEO Bitcoin.com

Recommendations

Privacy Tools && Recommended Services
Bitcoin Money Laundering

Sell your Bitcoin

They do not require any kind of id card or passport from you. No KYC/AML policy.

Electrum wallet

Electrum is considered one of the most secure bitcoin wallets available today, and that’s largely due to the encryption techniques it uses to secure your private keys.

tor logo

Tor Browser

Use Tor Browser to experience real private browsing without tracking, surveillance, or censorship.

Exchange your Bitcoin

They offer high degree of confidentiality, which will ensure the anonymity of your payments. No KYC/AML policy.

Get in Touch

We welcome any suggestions and feedback.
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