Non-traceablity defeats the purpose of a currency. Might as well trade in gold. For most transactions, physical money isn't really needed nor convenient.
Why does non-traceablity defeat the purpose of a currency? While physical money - besides the coins - is tracable in theory, this seems to be only used to limited extend. Nowadays it would not be to hard to do automatically but it would have been impractical to do at scale a few decades back. And even today you could not obtain a trace without gaps even if you wanted to.
danbruc|3 years ago