I want to start buying bitcoins from an exchange (like Coinbase or Kraken) and sell them locally (via bank transfer or cash) at a premium.
What is the legality of that?
I am located in Europe.
I have noticed that some resellers (for example on localbitcoins.com) do require ID in order to proceed with the process.
Is this happening so that they can protect themselves in case their customers are involved in illegal activities (e.g. money laundering or drug sale) ?
What planning do I need to do? I don't know where to start.
Little known open secret in the bitcoin world:
Satoshi Nakamoto is Nick Szabo.
He blogs at unenumerated blogspot and has a larger collection of more detailed essays available at:
The man is truly a genius and polymath. If you really want to understand money and cryptography on a deeper level i suggest reading his papers.
Just dont tell any journalists. We dont want them poking their noses in.
Regardless of legality, you have to consider- the people that will buy bitcoins with cash, are using them to buy large amounts of drugs online, so they can sell those drugs to distributors- 'dealers'
You might not go to jail, but you might get shot and thrown in a ditch
I'm really surprised that journalists haven't been able to figure that out yet. It's so fucking obvious. Welp, they're all just English majors with nothing between their ears. What can ya expect
Journalists are total fags. They ring me from time to time to ask me about bitcoin and crypto and i just repeat back to them whatever total crap I've read in the papers about btc.
Newspapers are all owned and centrally controlled by the same set of oligarchs that crypto is going to destruct and their journalists are merely their lackeys.
Never trust journalists.
its done to prevent money laundering. most places,even in these tax haven paradises as they call them, still have to comply with a handful of basic KYC.
also, adding KYC and compliance to this things keeps away the assholes nobody wants to deal with in the business.
what you are trying to do is possible, but is it a good idea now? i mean, unless you're planning to scam people for a HUGE profit margin, and hope they dont find out you scammed them, and go after your ass...
>Implying high margins are viable
Lots of people are too stupid realize
Lots of people are too lazy to care
Lots of people are so trained to consume that they insist on paying premium markups.
"Our end to end security and compliance provides you very best white glove crypto currency services that are totally worth a 17% markup!"