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Question Nvidia sells $30 million worth of "mining GPUs" to a single company.

Page 2 - Seeking answers? Join the AnandTech community: where nearly half-a-million members share solutions and discuss the latest tech.

How do you feel about Nvidia selling all their GPUs to big mining operations instead of to gamers?

  • Nvidia is a backstabbing, lying sack.

    Votes: 20 57.1%
  • I don't care. Screw it.

    Votes: 15 42.9%

  • Total voters
    35

fleshconsumed

Diamond Member
Feb 21, 2002
6,083
1,461
136
so how again is it traceable? If i mine with a proxy (or buy bitcoins), then divide my wallet to multiple wallets using a diff one for each transaction its all traced easilY?
It's traceable if you ever convert it to actual currency (dollars). All exchanges where you can convert crypto to USD know your identity, so if you ever send crypto to an exchange to cash out federal government will know that that wallet belongs to you and they will know everything you've ever done with it. There is less of a privacy risk when it comes to person-to-person transactions because private citizens do not have access to the same resources as government, but as soon as you pay someone with crypto they will know how much money you have in that wallet, that in itself is a huge privacy issue that is just too onerous to deal with.

As applicable to governments banning mining, how can they ban mining? One is physically shutting down known mining farms, and two, shutting down miners ability to cash out. Mining farms would have to start laundering their profits like gold/diamond/drug cartels, unfortunately for them crypto being a public ledger it's much more difficult to launder crypto.
 

Leeea

Senior member
Apr 3, 2020
611
699
96
so how again is it traceable? If i mine with a proxy (or buy bitcoins), then divide my wallet to multiple wallets using a diff one for each transaction its all traced easilY?
yes

the block chain is a public ledger for all to see.
 

killster1

Diamond Member
Mar 15, 2007
5,849
361
126
It's traceable if you ever convert it to actual currency (dollars). All exchanges where you can convert crypto to USD know your identity, so if you ever send crypto to an exchange to cash out federal government will know that that wallet belongs to you and they will know everything you've ever done with it. There is less of a privacy risk when it comes to person-to-person transactions because private citizens do not have access to the same resources as government, but as soon as you pay someone with crypto they will know how much money you have in that wallet, that in itself is a huge privacy issue that is just too onerous to deal with.

As applicable to governments banning mining, how can they ban mining? One is physically shutting down known mining farms, and two, shutting down miners ability to cash out. Mining farms would have to start laundering their profits like gold/diamond/drug cartels, unfortunately for them crypto being a public ledger it's much more difficult to launder crypto.
using a proxy to mine, then breaking your wallet to individual transaction wallets wouldnt solve this? cash it out in Yugoslavia. i know for a long time now they are into 10 forms oF ID to buy it from a official site, of course you could get better rates buying from your partners in crime.
 

nOOky

Golden Member
Aug 17, 2004
1,963
790
136
At this point I'd be looking for a monitor capable of 1024 x 768 so I can run newer games in all their glory at reasonable FPS with my older GPU's. Just have to sit closer to the dang thing.

Strange how it all ends up being about money, isn't it?
 

beginner99

Diamond Member
Jun 2, 2009
4,759
1,155
136
so how again is it traceable? If i mine with a proxy (or buy bitcoins), then divide my wallet to multiple wallets using a diff one for each transaction its all traced easilY?
How do you buy bitcoins? Buying or cashing-out is the easiest part to use (for law enforcement) to determine the owner as at the source/sink will need to be some verified bank-like entity meaning they need to have your real name.

Now of course if you only stay inside bitcoin and never do a transaction with someone that knows who you are, then you will stay anonymous. But is that really all that useful? If you mine yes, you can make money and spend it.
 
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amenx

Platinum Member
Dec 17, 2004
2,806
563
136
How do you buy bitcoins? Buying or cashing-out is the easiest part to use (for law enforcement) to determine the owner as at the source/sink will need to be some verified bank-like entity meaning they need to have your real name.

Now of course if you only stay inside bitcoin and never do a transaction with someone that knows who you are, then you will stay anonymous. But is that really all that useful? If you mine yes, you can make money and spend it.
What if you sit on it for years and just take out smaller, more frequent amounts that would normally fly under the radar?
 

Hitman928

Diamond Member
Apr 15, 2012
3,493
3,758
136
What if you sit on it for years and just take out smaller, more frequent amounts that would normally fly under the radar?
The moment you buy or sell bitcoin, any transactions related not only to that bitcoin, but any wallet that bitcoin touched become traceable to you. This includes branching wallets. For instance, if you mined a bunch of bitcoin at some point, then sent that bitcoin to a bunch of different wallets and then from one of those wallets sent some to an exchange to cash out, now every wallet you sent bitcoin to can be traced to you. It's not always easy or straight forward, but it can be done. Additionally, even if you never buy or sell bitcoin but just send bitcoin to a wallet that someone can prove you sent the bitcoin to that wallet (online messaging, texts, etc.), then once again, all of your branching bitcoin could then be traced.

AFAIK, only Monero offers truly anonymous transactions which is why some exchanges won't let you exchange Monero and those that do usually have very strict rules about what you can do with it.

Edit: As far as fly under the radar, I mean, someone would have to have a reason to look into your transactions in the first place, it doesn't really matter how big or small once they have a reason to look. Once they start looking, you have a traceable history that lives on the blockchain forever.
 

beginner99

Diamond Member
Jun 2, 2009
4,759
1,155
136
Edit: As far as fly under the radar, I mean, someone would have to have a reason to look into your transactions in the first place, it doesn't really matter how big or small once they have a reason to look. Once they start looking, you have a traceable history that lives on the blockchain forever.
Exactly. That's the core point.

It's not like anyone will likley look at it if all you do is a handful of minor transactions per year. But once you either do something illegal, law enforcement can go back and see all your transactions to possible illegal activity, even 10 years later.
More troublesome is that bitcoin (or other crypto) with this downside simply can not replace traditional banking. I don't want all my transactions and savings out in the open for everyone to see.
 
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Dribble

Golden Member
Aug 9, 2005
1,899
426
136
It's still much harder to track then using a credit card as you don't need a name/address/credit rating to own some bit coin. While it tracks a history of transactions it doesn't store a link to a real person with a real bank account, it just tracks stuff going into pretty anonymous wallets which one person can have as many of as they like.
 

beginner99

Diamond Member
Jun 2, 2009
4,759
1,155
136
It's still much harder to track then using a credit card as you don't need a name/address/credit rating to own some bit coin. While it tracks a history of transactions it doesn't store a link to a real person with a real bank account, it just tracks stuff going into pretty anonymous wallets which one person can have as many of as they like.
In fact you do need a name to buy bitcoin unless you mine it. Or at least here (Europe) you need the name. Any entity that allows you to purchase crypto from "cash" will by law require your name with proof with an official document like a passport. From that point on it's "easy" for 3-letter agencies to track your bitcoin flow. As soon as you pay someone you now with bitcoin he can theoretically also track back addresses and determine how much bitcoin you have and on what you spend it. It's all in the public domain for anyone to see. I admit right now while possible it would be rather cumbersome and time-consuming (but still possible compared to traditional banking).

And if crypto actually takes off I bet you there will be services that offer such tracking support with nice graphs and info what your target spends his money on. So I would be careful what you do right now because in 10 years it might be easy to associate with you.
 

blckgrffn

Diamond Member
May 1, 2003
7,715
931
126
www.teamjuchems.com
My take on it - you won't ever spend your BTC.

But maybe you will borrow against your BTC in fiat to get short term funds. Then you will pay that back. No taxable event. No loss on the upside created as the value trends up. It's like certain types of life insurance where you never pay taxes because you only draw down on the end value of the life insurance policy, but use it as a mask to hide massive amounts of investments and the gains they have made.

Only if you want to "cash out" would you outright sell your BTC but if you are a believer in it's future there is no way you would do that.

It's too valuable and too traceable to spend as cash, but if you want an asset that a third party can monitor and that you can prove you have access to then it is pretty remarkable.

In any case, there is enough really smart people leveraged highly into BTC now I expect to see every possible iteration of innovation attempted.
 
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