Financial Privacy

Bitcoin transactions are very public. In fact, anyone can see any transaction that happens on the Bitcoin peer-to-peer network. What makes this not a big deal is the decentralization of account ownership.

You have the ability to create Bitcoin addresses all day long – tens of thousands of them, literally, and there’s no central authority that manages who you are and what Bitcoin addresses you have.

However, a profile is easily built every time you publish a Bitcoin address in public. Each photo you post with your Bitcoin address, under a forum username becomes public knowledge. As such, “stalkers” can monitor, through the public Bitcoin accounting ledger, how much money is sent to your address(es).

To maintain your financial privacy, it is vital that you change your Bitcoin address from time to time, perhaps once a week, and different for each forum you post to. The more chaos you can cause to the source of your income, the better.

Additionally, if you do any private requests, *definitely* consider using a new Bitcoin address for each show or person you’re working with. This is the only way to protect your financial privacy in the long run with Bitcoin.

Conversely, when you post a “verifiable” photo with a Bitcoin photo and post it on the Internet, like all things there, it’s forever – and will continue to be a potential source of money long into the future. To protect your product, make sure you always keep your Bitcoin private keys safe. To protect your brand and Bitcoin from being “redirected”, write your Bitcoin addressed down on a patterned background so it is difficult to remove your Bitcoin address and overlay a thief’s Bitcoin address.

Updates (Thanks Whitslack):

  • Be sure to save Wallet URLs and keys for Bitcoin addresses you’ve used so you can claim/spend those Bitcoins. If you lose them, the money will be unrecoverable.
  • It’s vastly more efficient to use a desktop client that stores your Bitcoin keys in a wallet.dat file. It allows for importing and exporting keys to consolidate Bitcoin addresses into one point of access.

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