The problem:

a) If you do business with unidentified people, you can be dragged into
their crimes, you can be swindled, and you can help crime in general
prosper.

b) If you force identity and audit trail of all people, you leave people
no way to bypass pseudocrimes such as being unwilling to be bled white
by elected thieves. Plus you have to raise your prices to cover the
workload of playing detective over every transaction.

Analysis:

The main problem with (a) assuming you're smart enough not to buy into a
scam is that of unidirectional anonymity. They know and can tell that
they dealt with you; you don't know them from Adam. So the solution
focusing on (a) is *bidirectional anonymity*. For example an automated
MM system that matches "want to buy" against "want to sell" in such a
way as to make an audit trail impossible.

The problem with (b) comes in two parts: first, the state requiring you
to prevent pseudocrimes, second the waste of time and effort. To the
first part, the solution is validated pseudonymous reputation. To the
second, an external service providing reputation services. You only deal
through them, and so you can evaluate the trustworthiness of a mask
without being required to inform on its wearer.

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