Bitcoin happens to be the pioneer cryptocurrency that ushered us into the world of cryptocurrencies and as a result of that, it has attracted millions of users all over the globe.
Now when it comes to the issue of knowing how to buy Bitcoin anonymously without ID, people tend to preserve their privacy probably to keep them safe from harm or theft. Hence, the reason they would want to be anonymous.
For this reason we have decided to explain exhaustively how you can buy bitcoin anonymously without ID:
Centralized Exchanges and KYC- Know Your Customer
Centralized exchanges serve as brokers in cryptocurrency transactions and as custodians, holding and safeguarding your assets. Despite being a company dedicated to making cryptocurrency trading easier, they will not be held liable if you use their platform to conduct any illicit transactions.
You must go through a KYC procedure in order to use centralized exchanges.
KYC, or “Know Your Customer,” is slowly but steadily gaining traction in the bitcoin world. It is becoming increasingly difficult to purchase cryptocurrency without disclosing personal information.
The process of identifying and verifying the identity of customers is known as “Know Your Customer.” Common ways to do this are by asking for a name, birth date, or a copy of a government-issued ID.
The supposed reason for this is to prevent criminal activity like money laundering, but it isn’t a good idea to give away our privacy.
Can People Trace Bitcoin?
Bitcoin is often seen as an anonymous payment network, but the way Bitcoin work is quite transparent. All the transactions that are ever made are public, traceable, and permanently stored on the blockchain. Anybody can access this information, but it can’t be linked to a person or an identity.
Majorly because of privacy, more people seek ways of making their Bitcoin transaction KYC- free and anonymous.
Three Easy Ways to Buy Bitcoin Anonymously
There is a website that lists exchanges that don’t require a KYC process. It’s called KYCnot.me. However, the top three ways of buying Bitcoin anonymously are listed below.
1. Bitcoin ATMs
They’ve popped up all over the world, and most of them don’t require any kind of identification or KYC. However, there are multiple surveillance cameras in the area, so it isn’t fully incognito.
Bitcoin ATMs (Automated Teller Machines) are self-service kiosks where users may buy Bitcoin and other cryptocurrencies with cash or a debit card. Some Bitcoin ATMs include bi-directional capability, which allows you to buy Bitcoin and sell it for cash.
In certain circumstances, Bitcoin ATM providers need users to have an existing account before they may use the machine to make a transaction.
When performing the transaction at the site of the ATM, you will be asked to input your Bitcoin address. You can, however, indicate that you don’t have a Bitcoin address. They will generate a new paper wallet, and you are good to go.
You can import the private key from the paper wallet and send your Bitcoin to any safe destination in the future.
SEE ALSO: Where to Find and Use a Bitcoin ATM
Cons
Their method is very rare because the majority of people that need to buy Bitcoin KYC-free usually don’t have a Bitcoin ATM closest to them.
Bitcoin ATM charges 5-10% more than the market price of Bitcoin.
2. Prepaid Card
This method is simple. You can get a prepaid card at a supermarket and convenience store, depending on your location. You can then use the prepaid card to get Bitcoins from popular Bitcoin trade websites that allow you to use prepaid cards. You can do this on Paxful.
3. Non-KYC Online Services
Based on KYCnot.me ranking, the top two ways to buy Bitcoin without Verification/Photo ID are; Bisq and Hodl Hodl.
Bisq
Bisq is a decentralized free, open-source cryptocurrency exchange network.
How Does Bisq Work?
After setting up your Bisq account, you can buy Bitcoin through the following proven steps:
•Select an offer
•Send deposit and fees to trade wallet
•Confirm trade
•Send payment
•Mark payment as sent
•Complete trade
Hodl Hodl
How Does Hodl Hodl Work?
Hodl hodl is a global P2P Bitcoin trading platform where all trades occur directly between buyers and sellers without an intermediary.
First Step: Create an account
The only requirement for this is to create an email address. Once you have created your account and have verified it through the mail, you can start buying bitcoin. In the top left part of the website, you can see the option to buy bitcoin. Once you have clicked on that, you will arrive at this page with all the potential offers.
There is also this filter with payment methods, and they’re a lot of options to choose from. You can do bank transfers, credit cards, PayPal, Wenomo, Western Union, Gift cards, cryptocurrency, and the list goes on.
There is also the option to create an offer so when you create an offer. You can also announce to potential sellers that you’re willing to buy bitcoin at a specific price.
It is also possible to select how much more you want to pay than the market price.
You should also know that when using a peer-to-peer platform like this, the prices are, in general, a little bit more expensive, so you have to look around a little bit to find market price bitcoin or maybe find one or two percent more expensive.
SEE ALSO: How Long Does A Bitcoin Transaction Take Before Confirmation
Why Privacy?
The more regulation that gets pushed on cryptocurrency and bitcoin, the further we stray from the original motive of cryptocurrency, which is decentralization and privacy.
Privacy is a qualified human right, and most of the time, privacy is being mentioned to people; they say they don’t care about it because they have anything to hide. If a hacker can gain access to an exchange’s database, they can easily obtain all your personal information.
SEE ALSO: 10 Best Bitcoin Mining Software for Windows, Mac and Linux
Final Thoughts
People will always find a way to abuse a technology or a system. It just can’t be the reason to take away privacy.
Bitcoin was created as a decentralized peer-to-peer way to send money. It doesn’t discriminate as everybody who has the required hardware can set up a wallet and start using it. Centralization defeats the purpose of cryptocurrency in a way.
People who are in a difficult situation and who do necessarily have all the required documents for a KYC are being denied access to cryptocurrency.
Read More
