Theres less than 10 CIM buyers now, some of what are MSB's passing info to LEO, do what dnm vendors do and use fake return addys and stamps and get your coins at a discount.
Like say you wanted to do cash deposit for $2g's this is the best price on LBC at a national bank:
********* (100+; 100%) Cash deposit: Capital One Bank 283.79 USD 1500 - 2996 USD
https://localbitcoins.com/buy-bitcoins-online/usd/cash-deposit/
Highest price as a CIM buyer:
******(100+; 100%) Cash by mail 259.15 USD 1000 - 5000 USD
https://localbitcoins.com/sell-bitcoins-online/usd/cash-by-mail/
"cash in the mail" should be done in the privacy of darknet marketplaces, using escrow.
Personally, I think that there should be a "cash in the mail" listing category on every DNM, and every user should have vendor rights to sell "$100 cash".
That way, we make the exchange (a security weak point) part of the market. The bitcoin doesn't leave agora, no tumbling is required, and agora get their commission twice. bitcoin inside a marketplace where it is to be spent is more valuable, so it will attract actual bitcoin traders to sell them for cash, then buy more. It won't necessarily be a vendor cashing out buying your cash with bitcoin
Everybody's happy, because instead of having the marketplace's lungs on the clearnet, they are brought inside the marketplace's chest where they've always belonged.
Ross' Silk Road Model was revolutionary, but it can be improved upon.
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in fact why isn't there a hidden onion marketplace which sells only cash etc for bitcoin, which anybody can use instead of the regulated nosey exchanges?