One of the advantages of cryptocurrencies is anonymity. When making a transaction, you do not need to provide personal information. Enter only the address of another wallet to which the transfer is made. In this case, the tax or any other authorities cannot control the movement of funds or block the transfer.
It is possible to find out the identity of the owner of the wallet only if he admits it, for example, he will go through the KYC procedure when investing in ICOs. If he did not, then other network members can simply track the movement of assets, transfers between wallets, but not identify the real owner.
At the same time, the anonymity of all coins is different. Intelligence agencies still manage to sometimes track transaction history and delay intruders. So, in the summer of 2017, the founder of the BTC-e exchange, Alexander Vinnik, was detained. The FBI was able to establish the fact of laundering $ 4 billion using bitcoins.
Digital currencies have another plus – low fixed commission. If most payment instruments take a percentage of the transfer amount (usually in the range from 1% to 5%), then in the Bitcoin and other cryptocurrency networks, the fee is fixed.
A few months coinbase login ago, bitcoin was not suitable for small transfers. At the time of the peak growth of Bitcoin (December 2017), the average commission per transaction reached $ 55. It was not profitable for small investors to transfer BTC. Now the situation has changed dramatically. As of June 3, 2018, the commission for one bitcoin transactions is $ 0.711.