How to Set Up a VPN with Maximum Privacy: A Complete Guide

Dec 1

Written By Sbussiso Dube

TL;DR - Quick Summary

Goal: Set up Mullvad VPN with anonymous payment to maximize privacy.

The Process:

Buy Bitcoin with cash at a no-KYC Bitcoin ATM ($50-1000 typically allowed without ID)
Set up a Monero wallet (recommended: Cake Wallet or Feather Wallet)
Convert Bitcoin to Monero using a no-KYC exchange (Trocador, FixedFloat)
Create a Mullvad VPN account (no email required—just a 16-digit number)
Pay with Monero (€5/month, adds 30 days per payment)
Configure properly (enable kill switch, DNS leak protection, test for leaks)

Time Required: 2-3 hours for first-time setup (mostly waiting for blockchain confirmations)

Total Cost: ~$50-60 for one month (includes VPN + ATM fees ~10% + exchange fees ~1-2%)

Key Takeaway: This approach significantly enhances privacy by breaking the link between your identity and your VPN subscription. However, it's not perfect anonymity—it's one layer in a comprehensive privacy strategy. The article covers the full process, important security considerations, and realistic expectations about what this protects against.

Introduction

In an era of increasing digital surveillance, data collection, and privacy concerns, many people seek ways to protect their online activities. Whether you're a journalist working with sensitive sources, a privacy advocate, someone living under oppressive surveillance, or simply someone who values their digital rights, setting up a VPN with anonymous payment can be an important step in protecting your privacy.

This guide walks through a specific method: purchasing Bitcoin anonymously with cash, converting it to Monero for enhanced privacy, and using that Monero to pay for Mullvad VPN—a service that requires no personal information. While no method can guarantee complete anonymity, this approach significantly enhances your privacy compared to standard VPN subscriptions tied to credit cards or email accounts.

Important Note: This guide focuses on maximizing privacy, not achieving perfect anonymity. True anonymity is extremely difficult and depends on many factors beyond payment methods. This is one layer in a comprehensive privacy strategy.

Understanding Your Threat Model

Before diving into the technical steps, it's crucial to understand what you're protecting against and whether this approach is appropriate for your needs.

Who Are You Protecting Your Privacy From?

Different people have different privacy concerns:

Casual privacy seekers: Want to prevent ISPs, websites, and advertisers from tracking their activities
Journalists and activists: Need to protect sources and communications from government surveillance
People in restrictive regions: Living under oppressive regimes that monitor internet usage
Privacy advocates: Exercising their right to privacy as a matter of principle

What This Method Protects Against

This approach helps protect you from:

Your VPN provider linking payment information to your identity
Financial institutions tracking your VPN subscription
Data breaches exposing your payment details tied to VPN usage
Correlation between your real identity and your VPN account

What This Method Doesn't Protect Against

It's equally important to understand the limitations:

Your VPN provider can still see your real IP address when you connect
Advanced traffic analysis by well-resourced adversaries
Compromises of the VPN service itself
Poor operational security in other areas (using personal email, not securing your devices, etc.)
Legal compulsion of the VPN provider to log or provide information

Legal Considerations

Using a VPN is legal in most countries, and paying for services with cryptocurrency is also legal in most jurisdictions. However, you should:

Understand the laws in your country regarding VPNs and cryptocurrency
Recognize that while privacy-protecting activities are legal, they may attract attention in some contexts
Never use these tools to engage in illegal activities
Understand that anonymity is not a shield against lawful investigation of crimes

Step 1: Acquiring Bitcoin Anonymously

The first step is obtaining Bitcoin without linking it to your identity. Bitcoin ATMs that don't require identity verification offer one of the most accessible methods.

Finding Bitcoin ATMs

Bitcoin ATMs are physical kiosks where you can purchase cryptocurrency with cash. To find one:

Use Bitcoin ATM finder websites like CoinATMRadar.com or Coin ATM Radar
Filter for low-KYC or no-KYC machines: Many ATMs require ID verification, but some allow smaller purchases without identification
Check the purchase limits: ATMs often have daily or transaction limits for non-verified purchases (typically $500-$1,000)
Note the fees: Bitcoin ATM fees are typically high (5-15%), so factor this into your budget

Privacy Considerations for ATM Purchases

When using a Bitcoin ATM, consider these privacy factors:

Surveillance cameras: Most ATMs have cameras, and they're often in locations with additional surveillance. Consider this in your threat model
Location tracking: Don't drive your personal vehicle directly to the ATM if you're concerned about license plate readers. Consider walking or using public transportation
Phone number requirements: Some ATMs require a phone number even for small amounts. Consider whether you're willing to provide this or if you can use a burner phone
Transaction timing: Avoid patterns (same ATM, same time) if making multiple purchases
Receipt handling: ATMs may print receipts with transaction details—dispose of these securely

Best Practices for ATM Purchases

Research first: Know the ATM's limits and requirements before visiting
Bring sufficient cash: Account for fees, which can be substantial
Have your wallet ready: You'll need a Bitcoin wallet address to receive the funds. Set this up beforehand on your phone or computer
Choose appropriate ATM locations: Balance privacy (avoiding your immediate neighborhood) with safety (well-lit, public areas)
Keep transactions small: Staying under KYC thresholds (typically around $900-$1,000) helps maintain privacy
Understand the interface: Some ATMs have complicated screens—take your time

Receiving Your Bitcoin

When you complete the ATM transaction:

The Bitcoin will be sent to the wallet address you provided
Transactions typically require 1-6 confirmations (10-60 minutes) before the funds are fully available
You can track the transaction using a blockchain explorer if you save the transaction ID
Don't use your personal computer at home immediately after an ATM purchase if you're concerned about correlation

Step 2: Setting Up a Monero Wallet

While Bitcoin provides some level of pseudonymity, Monero offers significantly stronger privacy protections. Monero transactions are private by default, hiding the sender, receiver, and transaction amount.

Why Monero Over Bitcoin?

Bitcoin's blockchain is transparent—anyone can see:

The amount of every transaction
The addresses sending and receiving funds
The history of where coins have been

Monero uses several privacy technologies:

Ring signatures: Hide the sender among a group of possible signers
Stealth addresses: Create one-time addresses for each transaction
RingCT: Conceals transaction amounts

For paying for a VPN, Monero provides much better privacy than Bitcoin.

Choosing a Monero Wallet

Several good options exist:

Desktop Wallets:

Monero GUI Wallet (official): Full-featured, downloads the entire blockchain (requires significant disk space and time)
Feather Wallet: Lightweight, user-friendly, doesn't require downloading the blockchain
Cake Wallet (also mobile): Simple interface, built-in exchange features

Mobile Wallets:

Cake Wallet: Available for iOS and Android, highly regarded
Monerujo: Android-only, open-source and privacy-focused

For this guide, we'll reference Cake Wallet as it's available on multiple platforms and includes exchange features that will be useful in the next step.

Setting Up Your Wallet

Download from official sources only:
- For Cake Wallet: cakewallet.com
- For Feather: featherwallet.org
- For official GUI: getmonero.org
Create a new wallet: Choose "Create new wallet" and select Monero (some wallets support multiple cryptocurrencies)
Save your recovery seed: You'll be given 25 words (Monero's seed phrase). Write these down on paper and store them securely. This is the ONLY way to recover your funds if you lose access to your device.
Set a strong password: This encrypts your wallet on your device
Don't share your seed: Your 25-word seed phrase gives complete access to your funds. Never share it, type it into websites, or store it digitally in unencrypted form

Wallet Security Best Practices

Offline backup: Write your seed phrase on paper (or metal for long-term storage), never store it digitally
Multiple copies: Keep copies in separate secure locations
Test recovery: Before depositing significant funds, practice restoring your wallet from the seed phrase
Device security: Use strong passwords/PINs on any device with your wallet
Verify addresses: Always double-check addresses when sending funds—clipboard malware exists that can replace copied addresses

Step 3: Converting Bitcoin to Monero

Now that you have Bitcoin from the ATM and a Monero wallet ready, you need to convert BTC to XMR. Several non-KYC exchanges facilitate this.

Choosing an Exchange Service

For privacy-conscious conversions, consider these services that don't require accounts or identity verification:

Trocador.app: Aggregates multiple exchanges, showing you the best rates
FixedFloat.com: Simple interface, fixed-rate or floating-rate options
ChangeNOW.io: Large exchange with no-registration option
Exolix.com: Another no-KYC option with straightforward interface

Note: Exchange services come and go, and their policies change. Always verify current reputation and policies before using any service. Look for recent user reviews and check privacy-focused forums for current recommendations.

The Conversion Process

Using Trocador as an example (the process is similar for others):

Visit the exchange website: Go to trocador.app (or your chosen service)
Select the trading pair:
- "From": Bitcoin (BTC)
- "To": Monero (XMR)
Enter the amount: Input how much Bitcoin you want to convert
Paste your Monero address: This is where your XMR will be sent. Get this from your Monero wallet (usually under "Receive")
Double-check the address: Verify every character—sending to the wrong address means permanent loss
Review the rate and fees: Exchange services charge fees (usually 0.5-2%). Make sure you understand what you'll receive
Create the exchange: Click to proceed
Send your Bitcoin: You'll be given a Bitcoin address. Send your BTC from your wallet to this address
Wait for confirmations:
- Bitcoin typically requires 1-3 confirmations (10-30 minutes)
- The exchange then converts and sends your Monero
- Monero confirmations are also required (about 20 minutes)
Receive your Monero: Once complete, your XMR will appear in your Monero wallet

Security Considerations During Exchange

Use Tor or VPN: Consider using privacy tools when accessing the exchange website
Don't rush: Take your time to verify addresses and amounts
Save transaction details: Keep the exchange ID or page information until the transaction completes
Understand risks: Instant exchanges are custodial during the swap—there's a small risk of service issues or scams
Start with small amounts: Test the service with a smaller amount first if you're converting a significant sum
Check for minimum amounts: Services often have minimum exchange amounts (typically around $50-$100)

What If Something Goes Wrong?

If your conversion doesn't complete:

Check the transaction ID on the exchange website for status updates
Verify your Bitcoin transaction was confirmed on the Bitcoin blockchain
Contact the exchange's support if available (though this may require providing the transaction details)
Be patient—some delays are normal during network congestion

Step 4: Purchasing Mullvad VPN

With Monero in your wallet, you're ready to purchase VPN service. Mullvad is an excellent choice for privacy-conscious users.

Why Mullvad?

Mullvad stands out for several reasons:

No email required: Your account is just a random 16-digit number
No personal information: They don't ask for any identifying details
Accepts Monero: Direct XMR payments with no third-party processors
No logs policy: They don't track what you do while connected
Open source clients: Their software can be audited
Transparent operations: Clear privacy policy and regular security audits
Same price for everyone: €5/month, no gimmicks or tiered pricing
No affiliate program: They don't incentivize biased reviews

Creating a Mullvad Account

Visit mullvad.net: Go to the official Mullvad website
Generate an account number: Click "Generate account number" on the homepage. You'll instantly receive a 16-digit number like "1234 5678 9012 3456"
Save this number securely: This is your username/account identifier. Store it in a password manager or write it down. There's no password, no email, no recovery process—if you lose this number, you lose access to any remaining time on your account.
No confirmation needed: That's it. Your account exists. You don't need to verify anything or provide any information.

Paying with Monero

Log into your account: Enter your 16-digit account number on mullvad.net
Go to payment section: Click on "Add time" or similar
Select Monero as payment method: Mullvad directly accepts XMR
Choose how much time to add: Each payment adds 30 days (€5 worth of XMR)
Get the payment details: Mullvad will provide:
- A Monero address to send payment to
- The exact amount of XMR to send
- A payment ID (if required—some implementations use integrated addresses instead)
Send the payment from your Monero wallet:
- Open your Monero wallet
- Select "Send"
- Paste the Mullvad payment address
- Enter the exact amount specified
- Include the payment ID if required (some wallets detect this automatically)
- Confirm and send
Wait for confirmation: Monero transactions typically take about 20 minutes (10 confirmations). Your Mullvad account will automatically update with added time once confirmed.
Verify time was added: Log back into your account to confirm the 30 days were added

Downloading and Setting Up the VPN Client

Download the Mullvad app: Available for Windows, macOS, Linux, iOS, and Android at mullvad.net/download
Install the application: Follow standard installation procedures for your operating system
Enter your account number: When you first open the app, you'll be asked for your 16-digit account number
You're connected: That's it. Mullvad will automatically select a secure server and connect you

Initial Configuration Recommendations

Once installed, configure these settings for better privacy:

Enable "Always require VPN": Prevents internet access if the VPN disconnects (found in settings)
Enable kill switch: Blocks all traffic if VPN connection drops
Use Mullvad DNS: Prevents DNS leaks to your ISP
Enable IPv6 leak protection: If you don't need IPv6, disable it or ensure it's properly tunneled
Consider WireGuard protocol: Generally faster than OpenVPN while maintaining strong security
Connect on startup: Have the VPN automatically connect when your device boots

Step 5: Maximizing Your Privacy Setup

Having a VPN paid for anonymously is just one component of a privacy-conscious setup. Here are additional considerations.

VPN Configuration Best Practices

Kill Switch (VPN Lock) Ensures that if your VPN connection drops, no data leaks through your regular internet connection. Mullvad includes this feature—make sure it's enabled.

DNS Leak Protection Without proper DNS configuration, your DNS queries might still go to your ISP. Use Mullvad's DNS servers or configure custom private DNS servers.

IPv6 Leak Protection Many VPNs don't properly route IPv6 traffic. Options:

Disable IPv6 entirely on your system
Use a VPN that properly tunnels IPv6 (Mullvad does)
Verify no IPv6 leaks using testing tools

Split Tunneling Considerations Split tunneling allows some apps to bypass the VPN. For maximum privacy, avoid using this feature unless you specifically need it for particular applications.

Testing Your VPN for Leaks

After setting up, test for common leaks:

IP Address Test:
- With VPN off, note your real IP at a site like whatismyip.com
- Connect to VPN
- Refresh and verify you see a different IP (Mullvad's server)
DNS Leak Test:
- Visit dnsleaktest.com
- Run extended test
- Verify all DNS queries show Mullvad's servers, not your ISP
WebRTC Leak Test:
- Visit browserleaks.com/webrtc
- Check if your real IP is exposed
- If yes, disable WebRTC in your browser or use browser extensions to block it
IPv6 Leak Test:
- Visit test-ipv6.com
- Ensure no IPv6 address leaks

Tor + VPN Considerations

Some users consider combining Tor with VPN for additional privacy layers. Two approaches exist:

VPN → Tor (VPN first, then Tor):

Hides Tor usage from your ISP
Your VPN provider can see you're connecting to Tor
Tor exit node doesn't know your real IP (just VPN IP)

Tor → VPN (Tor first, then VPN):

More complex to set up
Mullvad provides guidance for this configuration
Protects against malicious Tor exit nodes
VPN provider doesn't see your real IP

For most users, either VPN alone or VPN → Tor provides sufficient privacy. Tor → VPN is for advanced users with specific threat models.

Operational Security Tips

Your VPN setup is only as strong as your overall security practices:

Device Security

Use full-disk encryption (BitLocker, FileVault, LUKS)
Strong passwords/passphrases on all devices
Keep operating systems and software updated
Use reputable antivirus/anti-malware tools

Browser Privacy

Use privacy-focused browsers (Firefox with privacy extensions, Brave, Tor Browser)
Disable third-party cookies
Use HTTPS Everywhere
Consider browser extensions: uBlock Origin, Privacy Badger, NoScript
Clear cookies and cache regularly

Account Separation

Don't mix privacy-focused activities with accounts tied to your real identity
Use separate browsers or browser profiles
Consider separate devices for different threat models

Communication Security

Use end-to-end encrypted messaging (Signal, Session)
Be cautious about metadata (who you contact, when, how often)
Remember VPNs don't encrypt your messaging—use proper E2E encryption

Payment Isolation

Don't reuse the same Monero wallet for other purposes that might link to your identity
Consider using a different wallet for each major purchase
Be aware that cryptocurrency exchanges you used in the past may still have information about you

Regular Security Audits

Periodically retest your setup for leaks
Review your VPN logs (Mullvad doesn't keep usage logs, but connection logs exist briefly)
Stay informed about new privacy threats and tools

Step 6: Limitations and Disclaimers

It's crucial to understand what this setup achieves and what it doesn't.

What This Setup Doesn't Protect Against

Advanced Adversaries State-level actors with significant resources can potentially:

Conduct traffic correlation attacks (timing and volume analysis)
Compromise VPN providers through legal means or covert operations
Use browser fingerprinting and other tracking techniques that bypass VPNs
Exploit vulnerabilities in your devices or software

Endpoint Security If your device is compromised:

Malware can capture your activity before it enters the VPN tunnel
Keyloggers can record what you type
Screenshots can capture what you see
No amount of VPN protection matters if your device itself is insecure

Human Factors Privacy can be compromised through:

Logging into personal accounts while connected to VPN
Using the same usernames across private and public contexts
Posting information that could identify you
Social engineering attacks
Poor operational security practices

VPN Provider Trust You must trust that:

Mullvad honors their no-logs policy
They resist legal pressure to log or monitor users
Their infrastructure is secure from compromise
They accurately represent their privacy practices

While Mullvad has a strong reputation and has demonstrated commitment to privacy, trust is still required.

Blockchain Analysis Even though you used Monero:

The Bitcoin ATM purchase could potentially be correlated if you're under active investigation
Blockchain analysis firms continuously develop new techniques
Timing analysis might link ATM purchases to subsequent activities

When Professional Security Advice Is Needed

This guide is for general privacy enhancement. You should seek professional security consultation if:

You're a journalist working with high-risk sources
You're facing threats from well-resourced adversaries
You're involved in activism in oppressive regions
You're protecting highly sensitive information
Your physical safety depends on your digital security

Professional security consultants can:

Assess your specific threat model
Recommend tailored security architectures
Provide ongoing security monitoring
Train you on advanced operational security

Legal Disclaimer

This guide is provided for educational purposes. While the methods described are legal in most jurisdictions:

You are responsible for understanding and complying with laws in your location
Privacy tools should never be used to facilitate illegal activities
The author and this guide assume no liability for how you use this information
Laws regarding VPNs, cryptocurrency, and privacy vary significantly by country

The Importance of Holistic Privacy

Remember that privacy is a holistic practice:

One strong link in a weak chain doesn't provide security
Privacy is an ongoing practice, not a one-time setup
Threat models change over time—reassess regularly
Stay informed about new privacy tools and threats
Balance privacy needs with usability and safety

Conclusion

You've now learned how to set up a VPN with enhanced privacy through anonymous payment. This multi-step process—from cash to Bitcoin, Bitcoin to Monero, and Monero to VPN service—significantly reduces the connection between your real identity and your VPN usage.

However, this is just one component of digital privacy. Combine this approach with:

Strong endpoint security
Privacy-conscious browsing habits
Secure communications tools
Careful operational security
Regular security audits
Ongoing education about privacy

Privacy is both a right and a practice. It requires vigilance, ongoing learning, and consistent application of security principles. Tools like VPNs are important, but they're most effective as part of a comprehensive privacy strategy.

Stay safe, stay informed, and remember that privacy is not about having something to hide—it's about having something to protect: your autonomy, your freedom, and your fundamental human right to privacy.

Resources for Further Learning:

Electronic Frontier Foundation (EFF): eff.org
Privacy Guides: privacyguides.org
Monero project: getmonero.org
Mullvad VPN guides: mullvad.net/help
The Tor Project: torproject.org

Last Updated: December 2025
Disclaimer: This guide reflects best practices at the time of writing. Privacy tools, threats, and recommendations evolve—always verify current best practices.

Sbussiso Dube