Privacy preservation is one of the defining characteristics of cryptocurrencies. Digital currencies such as Bitcoin offer a higher degree of anonymity than traditional online payment methods such as Paypal, debit card, or credit card. But the problem is now it is becoming quite challenging to buy Bitcoin without id.
Initially, when Bitcoin was launched, it was known for maintaining the privacy of the users. But now virtually every cryptocurrency exchange is obliged by law to do full KYC (Know Your Customer) of the crypto traders. So you need to submit a series of identification documents to trade Bitcoin. These documents can be your passport, driving license, utility bills, or selfies with a custom message. The step of identity verification is taken by the regulators to prevent money laundering and cybercrime.
Why you have to verify your identity to buy Bitcoin
As initially there was no need to verify the identity to trade cryptocurrencies so regulators around the world feared that cryptos could be used for counter-terrorism financing, money laundering, and other illicit activities. To restrict the illegal activities, regulators created KYC obligations which are essential for performing any kind of financial transactions. The same thing applies to digital currencies, so you have to disclose your identity to buy Bitcoin. But still, there are some ways to buy bitcoins anonymously. You can even buy other cryptocurrencies without revealing your identity.
The legitimate reasons to trade cryptocurrencies anonymously
Bitcoin is not truly anonymous. The underlying technology of Bitcoins or other cryptocurrencies is blockchain. Blockchain gives the complete transaction details such as
- The number of bitcoin is held at an address
- From where bitcoin was received
- Transferred to whom
Once your identity is connected to your address, it becomes easy to find how much bitcoin you hold. As bitcoin has become extremely valuable, so it is a matter of safety to stay anonymous. If someone owns lots of Bitcoin, criminals can make the person a target. Unlike other assets, a limitless amount of Bitcoin can be stolen from the Bitcoin wallet once from the Bitcoin wallet. More importantly, there is no authority which can halt the suspicious transactions. So maintaining anonymity can be a safe and smart choice for Bitcoin holders.
Other than this some individuals prefer to keep their finances private.
But the anonymity can be a blessing for the people who are involved in the illegal activities.
Want to buy Bitcoin without ID
If you are looking for ways to purchase cryptocurrencies without identity verification, do not worry there are certain ways where your transaction will remain anonymous. The only downside is anonymity comes at a price. To buy Bitcoin anonymously, you have to pay about 5-10% extra charges.
Buy Bitcoin with Credit or Debit Card without Verification
One of the easiest ways to buy Bitcoin is through your debit or credit card. With your debit or credit card, you can buy Bitcoin or any other cryptocurrency from the trustworthy sources anywhere in the world. Though most of the crypto exchanges require identity verification for trading in cryptocurrencies but there are certain cryptocurrency websites which allow you to buy Bitcoin without ID verification such as
Changelly is one of the famous cryptocurrency trading websites where you can buy cryptocurrencies without any identity verification. The trading process at Changelly is very easy. The platform not only allows you to buy a range of cryptocurrencies from your debit or credit card but you can also use the website to exchange your cryptocurrencies.
Coinmama is also a trustworthy website where you can buy cryptocurrencies maintaining your anonymity. It is an Israel based platform which allows the users to buy digital assets without the hassle of identity verification.
Cryptocurrency exchanges such as BitFinex and ShapeShift allow the users to buy Bitcoin without disclosing the identity. On ShapeShift you have to first buy altcoin or other digital tokens before buying Bitcoin. If you already have Litecoin or Ethereum, you can buy Bitcoins without verification.
Buy Bitcoin at Bitcoin ATMs
Bitcoin ATMs are like the regular ATMs where you can buy Bitcoins with your debit card. Once you buy Bitcoin at Bitcoin ATM, it will be delivered into your Bitcoin wallet. Usually, at Bitcoin ATMs, you do not have to verify your identity. The downside of buying Bitcoin at Bitcoin ATMs is they usually sell the digital currency at a markup of 5-10%. So it is better to check the price at Bitcoin ATM before buying the coin.
So these were some ways to buy Bitcoin anonymously. If you are looking for investing in Bitcoin and want to maintain your anonymity, you can go ahead with any of these options.