Have you actually made a purchase with Bitcoin, whether because you wanted to keep the transaction somewhat on the down-low or just because you wanted to see how it works?
I'm thinking of doing that and I fall into the latter category. But honestly, one day I might want to keep a transaction rather discreet, for whatever reason. So it would be good for me to know how this all works, right?
To keep a transaction discreet, you'll need to send it through a mixer, which seems like money laundering to me. Otherwise, your transaction will permanently be on the Blockchain forever more. If you really want to be anonymous, just use cash. I don't think the Feds are prosecuting anybody who goes to BTC Mixers, but I don't like the idea of helping out criminals personally.
BTC is just like a really slow, complicated way of sending money around. You still gotta spend for a transaction fee every time it touches a different wallet (otherwise the transaction may get held up by the miners: the miners get to keep the transaction fee... so the higher you pay, the higher the chance that a miner decides to let your transaction through). Honestly, I don't really see the point of it, unless you're trying to buy gray market goods (legal stuff like Pornography, but you may have issues with some credit card companies)... or straight up illegal black market goods.
So have you bought anything with Bitcoin? And how did you decide how much Bitcoin to buy and/or keep available?
I decided for myself that $200 was enough that I was willing to lose, so I made a wallet, purchased $200 of BTC. Then used those BTC to buy stuff online. Some websites do use BTC, like Namecheap. But after doing a few BTC transactions, I really didn't see the big deal at all. I think there's some interesting tech with escrows and stuff, but BTC really isn't stable enough for me to trust it for big money transactions.
Eventually, I sold most of those BTC back into dollars and walked away.