65% of Ethereum's transactions go through a huge mixer
A group of highly knowledgeable analysts began to investigate where and how much ETH transactions are processed. According to the analysis, over 65% of all ETH transactions are generated using temporary addresses. In other words, the funds enter the address and leave the address again, usually within one hour, and the addresses are never reused.
The information found on the CuberFund blog shows that the Ethereum mixer moves the resources to temporary addresses by mixing them from address to address and then sending them to fixed addresses on different exchanges. The graph shows the process:
The problem with these transactions is that they represent a huge part of all transactions with Ethereum. The analysis shows that at least one of the following options should be true for the mixers.
Avoiding control
The protection offered to customers by encryption: all client funds are mixed so that sources of funds cannot be traced, and those who hold clean money cannot be unreasonably accused of illegal activity.
A mechanism is in place to protect US residents who want to avoid control by the country's regulators.
A mechanism used by a large exchange to preserve the integrity of its customers.
Any type of Ethereum laundering scheme
Which of these options is actually the goal remains to be seen. However, if such a large number of transactions are carried out through one mechanism, it questions the market growth of Ethereum and its actual use.
image source - Instagram
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Oh my God smell laundering
@crypto-rev great post on an often overlooked aspect of crypto/the blockchain.
Upvoted and followed!
I would be interested to hear your thoughts on my latest episode of Crypto Nights on my blog! Let me know what you think!
Alex
This is supercool! @crypto-rev Thanks! Followed...
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