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People consider it private because no one is keeping track of who has which bill. They are effectively perfectly fungible.

You are wrong. They keep track. Until they found one on you...

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Cool story. Any evidence or even a plausible mechanism? What about coins? They don't have serial numbers.

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fiat coins are meaningless. Are just for fun to make sheeple believe they have money coins.

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So your answer is "no", I take it.

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