• CipherTrace crack Monero privacy
    Cryptocurrencies,  Regulation

    CipherTrace: We’re closer to cracking Monero’s privacy

    The blockchain analytics firm claims two new patents will allow it to detect and track criminals using the leading privacy coin

    The Nov. 20 announcement covers a number of tools and methods that bring CipherTrace closer to being able to track Monero transactions—although not break the privacy of individual users, the firm stressed. CipherTrace said it has been working on those tools since early 2019, as part of a Department of Homeland Security project. The firm claims that the new developments have laid the groundwork for future tools “like entity transaction clustering, wallet identification, exchange attribution, and other functionality that will provide law enforcement with even more tools for investigating Monero transactions and addresses related to criminal activity.”

  • crypto hacks down DeFi surges
    Cryptocurrencies

    Overall losses from crypto hacks are down—but DeFi attacks have surged

    CipherTrace reports losses from crypto crime have plunged in 2020… but the explosion of DeFi protocols have given hackers and fraudsters an opportunity that’s too good to miss

    The blockchain intelligence firm says total losses from crypto fraud, thefts, and hack attacks stood at $1.8 billion for the first 10 months of 2020. That’s substantially less than the $4.5 billion seen over the whole of last year. Alas, it’s a little too early to proclaim that the digital assets industry has turned a corner. CipherTrace’s data also shows that half of all crypto hacks this year have targeted DeFi protocols and exchanges—a stark contrast to 2019, when attacks on decentralized finance platforms were “virtually negligible.”

  • crypto money launderer's haven
    Cryptocurrencies,  Regulation

    Crypto still a money launderer’s haven: CipherTrace report

    According to the blockchain intelligence firm, 56% of all crypto firms ‘have weak or porous know-your customer processes, meaning money launderers can use’ their services

    More than half of all cryptocurrency exchanges are so lax about making customers prove their identity that they can be considered money-launderer friendly.

  • IRS Chainalysis Monero contract
    Alt coins,  Bitcoin,  Regulation,  United States

    IRS bets $1M Monero transactions are traceable

    The IRS decision to spend big bucks with Chainalysis and Integra FEC indicates that its criminal investigations division is eager to follow up its successes in tracking Bitcoin

    Crypto intelligence firm Chainalysis and the data analytics company Integra FEC will each receive an upfront payment of $500,000 so they can begin developing their proposed tool. America’s taxman said it was seeking “innovative solutions” for tracing XMR, as well as off-chain transactions conducted using Layer 2 scaling networks.