Why Would Cryptocurrency Creators Prefer To Remain Anonymous?
Most big cryptocurrency exchanges now require identity checks to combat this type of fraud. Amhaz believes that there are positives to the idea of the organization. Despite aliases and avoiding the spotlight, Gargamel and Gordon gunner built a multimillion-dollar empire to sell digital art, and people sought to find out who they were.
They founded the Monkey Yacht Club, a collection of 10,000 monkey cartoons with different hairstyles and costumes, and sold them as digital symbols (NFTs). However, it is now challenging to get one for less than $280,000 due to celebrity approvals such as Paris Hilton and Serena Williams.
The American news source BuzzFeed investigated the matter. It revealed their true identity, sparking outrage among fans on social media. Who expressed anger at the violation of personal life and spread it to all. This story has re-highlighted the subject of anonymity in the world of cryptocurrencies.
Although the founders of the little monkeys want to hide their identity in the cryptography world, they own a company called the yoga informant, so they have to follow all the usual rules in the company’s filings, including identifying the beneficial owners. “using a pseudonym doesn’t make you anonymous,” says alexander statchenko, a cryptocurrency expert at KPMG.
Risk Of Theft in Cryptocurrency
We don’t know precisely why the founders of the little monkeys want to hide their identity. They have conducted several interviews under pseudonyms. Critics argue that hiding someone who makes money from digital symbols is expected because what he sells is worthless, even though fans enjoy being part of a society where digital icons are often a gateway to games and other entertainment franchises. However, anyone who makes a great deal of money in this field will remain in sight.
“I don’t need cryptocurrency users to know who I am, how I look, or my origins,” says an innovator called OwlofMoistness. I don’t want to risk people stealing me or hurting my family.”
The innovator co-founded YieldGuildGames. A startup focused on digital code video games in the Philippines, where the digital icon craze has spread among the population. He also noted that technology supporting cryptocurrencies and digital codes is the so-called blockchain. A ledger where anyone can track transactions in the cryptography world.
So connecting someone’s encrypted identity to the real world will allow anyone else to discover their wealth. The bigger the project, the more difficult it is to hide identity in the cryptography world. “It gets harder if you’re going to expand your team,” says Sona Amhaz of VoltCapital, a cryptocurrency company.
The Best Way
One of the preferred ways to stay anonymous in the crypto world is to form an independent decentralized organization.
The organization allows people to cooperate and act as a company without formal legal status or specific owners. Of course, anyone who makes profits will remain committed to paying taxes, but linking real-world individuals to these entities are more complex than searching public records.
However, many people use the anonymity feature for nefarious purposes.
The organization and other decentralized entities are highly vulnerable to fraud. According to analysis, AnubisDAO was one of these fraudulent entities, set up by anonymous programmers last October. Disappearing less than a day after its launch. With about $60 million in investor funds.
So the mainstream seems to be turning against anonymity in the crypto world.
Most big cryptocurrency exchanges now require identity checks to combat this type of danger. Amhaz believes that there are positives to the idea of the organization, as it is subject to blockchain control, so anyone can track the organization’s transactions and see if it is legitimate or suspicious, and adds: “if you have a pseudonym. It doesn’t matter if you don’t receive a high school education. Only your work is the way to evaluate you, which gives you your reputation. It is one of the best ways to evaluate someone.”