A Bitcoin mixer, or tumbler bitcoin, is a third-party provider that serves to create anonymity for holders of Bitcoin by breaking the connection between the sender and the receiver addresses.
For a small fee, a Bitcoin tumbler will effectively disassociate any purchased Bitcoin from the identity of the purchaser. This process will provide the holder with privacy regarding where coins were purchased or sent.
Bitcoin tumblers are a legal and established means to create untraceable Bitcoin. The user simply provides their Bitcoin wallet address and then sends their coins to a newly generated address. After a short duration, for the mixing process to complete, the new coins are returned.
Bitcoin Blockchain itself gives the appearance of anonymity, since no names or obvious identifiers are captured in the transactions. The general public understanding seems to lean towards a belief in this creating an anonymous structure. However, given the use of public keys in the blockchain to reference a holder’s cryptocurrency wallet it is easily traceable by a security service.
Therefore, the obvious and overriding benefit of using a Bitcoin tumbler is privacy. The Bitcoin holder can use the tumbling process, also known as mixing or laundering, to become anonymous within the blockchain. This effective cloaking of send and receive transactions results in eliminating the ability to trace the activity.
Using a reputable Bitcoin tumbler, such as Coinomize, the holder can send coins for mixing and when the process is complete receive back untraceable coins. Logs are not stored by the tumbler and therefore remove the connection between send and receipt, or trackability to the user.
Features of Bitcoin Tumbling
The mixing process is 100% anonymous. The tumbling service does not store a log of the activity, nor IP address information.
The process can vary in the length of time (from several minutes to a few hours) it takes to receive the returned “clean” Bitcoin. With some tumbler services the user can set the duration, though it is recommended to vary the turnaround time to maximize the effectiveness of the mixing process.
One must be cautious in engaging with a Bitcoin tumbler. There certainly are disreputable services out there, so it is important to ensure engagement with an established and well recognized Bitcoin tumbler, such as Coinomize.
Fees typically range from roughly one to five percent of the transaction value to conduct the service.
Overall, Bitcoin tumbling is a safe, effective and cost-effective means to create transactional anonymity and thereby avert traceability of Bitcoin send and receive activity. It is an accepted and legal mechanism to ensure ongoing cryptocurrency freedom.