What Are VPNs Used For In Crypto?

what's up sons it's blind dragon with

summon tech once again today we're going

to be talking about virtual private

networks and how they're utilized

within cryptocurrency in general

including both mining as well as trading

a huge disclaimer at the beginning i do

not condone any of these actions and it

is purely for educational purposes

there we go if you would like to put

your whole entire home network

behind a vpn be sure to check out the

affiliate link

for flash routers down in the

description flash routers will

pre-flash a router for you with ddwrt

which is a firmware that supports of

course vpns and it comes with a nice

user interface making it easy for you to

connect to your favorite vpn service

whether that be private internet access

or nordvpn

once again that is primarily for

security and not for the uses that we're

going to be talking about

in this video well sort of

let's get into it so virtual private

networks and for short throughout the

rest of this video we're going to call

them vpns

or a service that allows you to

basically appear

to be coming from a different location

in your actual physical location

when accessing different services and

features on the

internet while this works for the most

part from a security standpoint

that is not the end-all be-all for

security and if you're worried about

security and cryptocurrency

then you need to be looking into things

like hardware multi-factor

authentication

a good antivirus software like maybe say

kaspersky and as well as a good password

manager that is preferably not built

into your browser

at least that's what i would prefer

while i have recommended

lastpass as well as dashlane and

services like that

it has become very apparent that in the

case

of the recent events with lastpass that

maybe installing it into

your browser isn't the best idea and we

can go over that in a different video if

you're interested

let me know in the comment section below

that out of the way we will cover

security in a completely different video

as it pertains to vpns

the security is just to obfuscate and i

have a tough time pronouncing that word

so maybe we will spell it out

for you guys on the screen now what does

that mean that means

essentially that you are kind of masking

your real

location with a vpn

moved location right so let's say you

connect to

a vpn in europe but you live in the us

or you connect to a vpn

in mexico but you live in the uk

so on and so forth and this can be

viable especially for

miners from the aspect of mining to a

cryptocurrency pool

personally i do use a vpn service when

connecting to a cryptocurrency pool

because i don't want necessarily the

pool to have my

physical location or at least for it to

be a little bit harder for them to track

it down

the reason for this obviously is i don't

trust anybody

and i don't trust pool owners no matter

how large

the pool is you don't know how many

people are working on it

how many people live close to you or

your location

and how many people would be in a

position where they may want to

be a bad actor or perform something

against you and so

just being able to make sure that it's a

little bit more difficult from a miner's

perspective i do it the downside of

using a vpn for mining

is like we talked about in the stale

shares video

that you will increase your stale shares

to a certain extent and this is due to

basically latency between

your miners and the vpn location and

then from the vpn location

of course to the mining pool as long as

you're under 200 milliseconds

you should be fine however of course

the faster or the lower the latency

to the mining pool the faster you'll

submit shares and the faster you submit

shares before other people the more

shares you have

therefore the more crypto you earn very

simple based terms

the next part here is the part that

we're going to talk about for

educational purposes

only and that is what cryptocurrency

traders do

and with vpns in particular

so when you're trading cryptocurrency

you can find it very difficult to trade

certain currencies

in certain geographical locations and

on top of that some geographical

locations require

super stringent rules on exchanges to

operate within that location

including tracking user data now a lot

of the times this user data is used so

that they can track

taxes and so on for that geographical

location

vpns aren't necessarily used to avoid

taxes however that could be a purpose

that they are used for

and i would condemn that on this channel

pretty vocally

even if you do use it to access a

different exchange in a

from a different geographical location

you should still

report your capital gains on those

trades

to your of course participating

government

whatever you are in that being said that

could be a side use of it

and then following that up of course

like i said the big thing is

you just don't have access to some of

the exchanges and tools

for some of the cryptocurrencies that

you wish to participate in

a great example of this would be if you

were even just trying to mine it's not

illegal

to mine any given cryptocurrency like

narrow

however if you were in a u.s based

geographical location and you wanted to

swap some monero

it becomes very difficult because

there's not a ton of options that's one

example another one could be conflux

and there's a few of them mainly privacy

coins

are typically blocked on a lot in a lot

of geographical locations

because once again they're difficult to

track for taxes

and obviously people will just say

if they're trying to get money from you

they don't want to trust you

so they want to be able to see exactly

what is going on with your trading

behavior there

so from a cryptocurrency trader's

perspective they

use vpns to unlock the potential to

trade different cryptocurrencies that

are not available in their geographical

location

another thing about this is that

depending on your geographical location

we talked about that user sign

up guess what a lot of cryptocurrency

users

don't like signing up for things and for

good reason

there is no need for a trust and

if you are based on that principle of

crypto which is antitrust

anti banks essentially at a very basic

term or anti-federal reserve so on so

forth

then you don't want to be giving out

personal information

it goes back to the cypherpunk manifesto

which

is what i do with the interactions of

another person

on a peer-to-peer basis is none of the

government's business or anybody else's

business

and cryptocurrency at its base is

enabling the financial portion of that

manifesto

like i said once again for educational

purposes

only okay so some people

don't want to register for websites at

all including mining pools

and uh exchanges like

finance.us or coinbase

or crypto.com or any of these services

right they

they don't want to sign up for them

because they

don't believe that is anybody else's

business and they want to maintain

their anonymity so they use virtual

private networks to connect to exchanges

that don't require

these sorts of things registration

essentially

now the downside to this is that sure

that's all great and fine now you are

basically trading crypto in and out and

you aren't being tracked and you haven't

submitted any user information

binance.com technically doesn't

make you submit any user information

hence why they created binance.us

you have a few others out there that

just never

require you to including primexpt

and the only thing primex bt will do

just to make sure that they're

all within the legal realm is notify you

if you connect from a us

ip and request that you basically are

connecting through a vpn from the us

and that's kind of how they get around

that with asking those questions

once again these are all gray areas for

educational purposes i'm just trying to

explain to you guys how it works

so there you go i ca i can't think of

anything else that's pretty much it

that's why vpns are used

once again for miners to obfuscate their

ip

and basically protect their geolocation

of their mining rigs and for traders to

access services and other

cryptocurrencies that may not be allowed

in their geographical location i hope

this video was educational

and helpful if you found it helpful be

sure to leave a like comment subscribe

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you

next tuesday also

all capital gains even if you use a vpn

make sure you just track them and claim

them

if you enjoyed this content you can

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