1K bounty to the first person who can answer this with proof to back them up.
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No. The merchant must fill out kyc and accept bitcoin payments. They must have the right app in the right mode.
More KYC. More doxxing. More taxes.
Bitcoiners these days are not the brightest lights.
They are celebrating state licenced companies eroding the last piece of privacy.
There are only 2 or 3 honourable Bitcoin businesses (BTCPayServer, Trezor) among thousands of government boot lickers (Coinbase, Binance, Square, Strike, Bitcoin Bull, Bitpay, Ledger, Blockstream...).
The enshitification of Bitcoin is accelerating with every company that captures the "p2p ecash system without third parties".
If you don't use Bitcoin in a self-sovereign way you are the problem. Why would I bother using KYC non-custodial BTC when I just can use fiat that is accepted everywhere?
SoV sure. Nice! But we're not there yet and likely never will be since most people see BTC as a fiat multiplier and as soon as SHTF they will all call home their speculative investments out of necessity.
KYC means social credit.
i can get you screenshots from a square dashboard tomorrow. the merchant has to go into their settings and enable it at the account level and then also manually include it in checkout options per POS or "device mode" grouping.