The blockchain analysis company chain concluded that bitcoin is used in 95% of digital currency crimes. This finding is not surprising, as Bitcoin is currently the most popular and widely used of the 2,000 digital currencies.
Levin: So far, bitcoin is a favorite of criminals.
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Chain co-founder Jonathan Levin told Fortune: "Bitcoin is very popular among criminals. Interestingly, Bitcoin is more popular than anonymous coins such as Monero because it is The most valuable and most traded digital currency."
In fact, many recent drug smuggling cases involving fentanyl have been discovered through blockchain analysis, and buyers have purchased illegal opioids in bitcoin.
The Manhattan District Attorney has recently accused the Dark Net drug dealer of laundering $2.3 million in bitcoin.
Blockchain tracking helps to fight poison
Blockchain forensic analysis is very useful for the US Drug Enforcement Administration and the Department of Homeland Security to combat illegal drug activities.
Levin said: "We have the ability to link some digital currency transactions with the services people use to distribute fentanyl. The Department of Homeland Security and the Drug Enforcement Agency are actually very good at arresting these people."
With the proliferation of bitcoin scams and criminal activity, services such as chain analytics for law enforcement agencies and digital currency companies are becoming more and more important.
IRS uses blockchain analysis
Chain analysis is software that tracks transactions on a public blockchain, linking personal identities to the digital currency they hold. The IRS is one of its main customers.
The media has reported that the chain analysis received most of the funds used by the US Internal Revenue Service to track digital currency payments in 2018.
In fact, chain analysis is the preferred blockchain analysis for the US government. In 2018, the federal government paid $5.7 million to these companies, and the chain analysis received $5.3 million (93%).
As a result, blockchain tracking companies such as chain analysis are increasingly attractive to investors. In February 2019, the chain analysis raised $30 million in the second round of financing.
Jonathan Levin, co-founder of chain analysis, also appeared on Forbes magazine's list of 30 European entrepreneurs under the age of 30.
Chain Analysis extends tracking services to 10 digital currencies
On April 25th, Chain Analysis announced that it will expand real-time transaction monitoring of the 10 most popular digital currency currencies, including Bitcoin, Ethereum, Litecoin and USDT, as part of an action to combat money laundering.
The company announced in a blog post that since 2014, chain analysis reactors have been recognized as the leading blockchain analysis tool, playing a role in cracking down on hacking, dark-net markets, ransomware and terrorist financing. Key role.
More than 100 customers in 35 countries rely on chainkyt (know your trade) to screen transactions in real time and receive alerts for suspicious activity. ”
Bitcoin worth $7.5 million was stolen in a SIM card scam
Although the digital currency industry is relatively new, there are still a large number of scammers who want to take advantage of this unregulated market.
The media has reported that a 21-year-old Boston man was sentenced to 10 years in prison on charges of stealing $7.5 million worth of bitcoin through a method called "SIM card exchange."
This is the first time in the United States to convict SIM card fraud. That is, at that time, the perpetrator copied the victim's SIM card to invade their smartphone and enter their online account.
In May 2018, Joel Ortiz at the industry conference hosted by the digital currency news site CoinDesk, shamelessly stole millions of dollars by hacking a few people's smartphones. (CCN Chinese Station)