If you find that moisture is moving through the walls in your basement you need to take a look at the draining conditions around the outside of your house. Rain water that runs off your roof needs to be moved as far away from your house as possible. As the soil around your house becomes saturated with water, the next place that water would like to go is through the walls and into your basement. When your house was new, the foundation walls had a nice thick coat of tar or other waterproofing material applied to the side next to the soil. Over time that waterproof coating has probably undergone significant deterioration, allowing water to pass into your basement walls.
There is no ideal paint-type waterproofing coating, when applied to the inside basement walls, that will permanently keep this water from entering your basement. Eventually a waterproofing coating will come off and probably with a good sized chunk of your foundation. Actually, thinner coats of latex paints will allow small amounts of moisture to pass through the coating. If larger amounts of moisture try to enter, the paint will merely blister and peel. Touching up periodically peeling paint is not ideal but much preferred to having your foundation walls come apart in chunks.
Let us know your paint questions and problems.