The only way btc's pseudonymity could have ever worked to provide any degree of privacy would have been with massive peer to peer use as digital cash. If a huge portion of Bitcoin was constantly changing hands between people it could have provided a degree of anonymity as long as you did not link it to your real identity.
Since that failed and financial institutions now control it's trading and have implemented widespread KYC that ship has sailed. Add to that that nobody even spends their KYC'd Bitcoin anyways and if they do the KYC'd merchant is immediately cashing out for fiat, and all the miners also being KYC'd and also subject to censorship pressure from the state.
BTC will never become money, the attack has progressed too far along, and now it's just a gov approved trading asset. It's been too wrapped into the legacy financial system. It's attack surface is too big, and the onchain fees choke out any meaningful use. Layer 2s are a joke as the blink hack has shown.
Ricardo Martinez
npub1r5…9ch0g
2026-10-14 18:17:14 UTC
Author Public Key
npub1r5dgptaf4tm22jrjrkqmq5s7vkdgymk3xanfpzkcs8zapwex6deq59ch0gSeen on
wss://nos.lolPublished at
2026-10-14 18:17:14 UTCEvent JSON
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"kind": 1,
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"content": "The only way btc's pseudonymity could have ever worked to provide any degree of privacy would have been with massive peer to peer use as digital cash. If a huge portion of Bitcoin was constantly changing hands between people it could have provided a degree of anonymity as long as you did not link it to your real identity. \n\nSince that failed and financial institutions now control it's trading and have implemented widespread KYC that ship has sailed. Add to that that nobody even spends their KYC'd Bitcoin anyways and if they do the KYC'd merchant is immediately cashing out for fiat, and all the miners also being KYC'd and also subject to censorship pressure from the state.\n\nBTC will never become money, the attack has progressed too far along, and now it's just a gov approved trading asset. It's been too wrapped into the legacy financial system. It's attack surface is too big, and the onchain fees choke out any meaningful use. Layer 2s are a joke as the blink hack has shown.",
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