Part 8/13:
A recurring theme in the hearing was the misconception surrounding Bitcoin's privacy features. Antonopoulos clarified that Bitcoin is not truly anonymous but pseudonymous; transactions are recorded publicly on the blockchain, but user identities are not directly linked to real-world identities unless they choose to disclose them.
He argued that this transparency is a powerful tool for law enforcement and forensic analysis. The ability to trace transactions can aid in combating crime, including money laundering and terrorism financing, contrary to popular misconceptions. Antonopoulos highlighted that powerful forensic tools are already capable of analyzing blockchain data, making Bitcoin a transparent system that balances privacy with accountability.