The cryptocurrency exchange Binance was recently scrutinized for flagging a customer’s funds because the individual had used a bitcoin mixing application. Now the platform Paxos Global is discouraging the use of crypto mixers after a customer allegedly sent coins to a mixing service.
Also read: Regulatory Roundup: EU-Wide Crypto Regulations, New Rules in Europe, US, Asia
Paxos Global Discourages the Use of Bitcoin Mixers
The fight for privacy against corporate entities and governments surveilling our everyday financial transactions continues to escalate. Cryptocurrencies have made it harder for governments to track people, with digital currency mixing services thwarting blockchain analysis. However, exchanges have been increasing their surveillance methods a great deal and a number of them have beefed up KYC practices. Last December, news.Bitcoin.com reported on a Binance customer complaining after his funds were frozen because he used a bitcoin mixer. Eventually, the Binance user received his funds but only after promising not to…