If the price of bitcoin increases/decreases, does that mean the listing on the DNM become more expensive/cheaper?
Not at all. The price will still be the same. Say if a vendor has a listing for $20, and the price of bitcoin drops, the item will still be $20, but the bitcoin equivalent will change. the vendor will only loose money after someone has made a purchase and the price of bitcoin drops.
Do both Bitcoin wallets have to be online at the same time?
No, to make transactions it is not necessary to have both Bitcoin wallets (the sending and receiving one) to be online. The transaction will be processed automatically, just make sure you follow the tips in the following chapters.
What is a satoshi?
The satoshi is currently the smallest unit of the bitcoin currency recorded on the block chain. It is a one hundred millionth of a single bitcoin (0.00000001 BTC).
Important tips regarding Bitcoin
- SAVE YOUR ELECTRUM SEED. Write it down on a sheet of paper, in a text file and/or remember it. Just make sure that you still have access to it if you loose your Tails USB stick. Then you will always be able to recover all your bitcoins.
- Do I have to do something in order to receive bitcoins? No, you just need to send the bitcoins to one of the addresses under the “Addresses” tab. It is not necessary to fill out the form under the “Receive” tab.
- Use a new Bitcoin address for every transaction. You have many different ones to choose from under the “Addresses” tab and you should use them because it does not cost anything to use or create new addresses. It further strengthens your OpSec, so do not use one Bitcoin address twice.
- Make sure you have enough to order and pay for shipping. A little extra left over is ok.
How to buy bitcoins
There are two ways you can obtain Bitcoin. You can mine it, however this requires investment in the appropriate hardware, so most people who use the DNM will purchase their Bitcoin one way or another.
Fortunately there are many different ways how to buy Bitcoin. Some are can be easier and more convenient and some can take a bit longer but do not require you to reveal your identity. Since you are going to buy some not-so-legal items with them it is desirable to not have your identity linked to the bitcoin you bought in the first place, so you do not have to go through the hassle of attempting to obfuscate it later on.
The following are descriptions of several ways to buy bitcoins. The general rule is to not visit these websites with the TorBrowser or a proxy that is not in your country. The reason behind that is that you do not want to raise suspicion because buying bitcoins is not illegal so why would a user need to log in using the Tor browser? However you can use the WiFi of a cafe (or another network that is not tied to your identity) or a VPN (choose a server that is in your country) to log into these websites.
That way you do not raise suspicion but still are anonymous, as long your purchase methods do not reveal your identity to the website. It is your choice to pick what path you want to go in order to obtain bitcoins. If you are just a personal buyer, it will be still fine if you use a non-anonymous method, like a bank wire transfer, as long as you follow the instructions in the Sending bitcoins chapter too.
Can I use fake names/email addresses/. . .?
Sometimes you have to give a real name or other identifying data to create an account on the bitcoin exchange. While buying BTC is not illegal, you do not want to make it too easy for law enforcement in case they investigate you. So the general rule of thumb is to use fake/throwaway data as long as you do not break the law with that.
For example it is better to create a new email address than using your existing one to create an account on the exchange. But do not, for example, buy a fake ID to avoid showing your real ID. Keep in mind to not use obvious fake data, i.e. avoid using names like “John Smith.”