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Russia commissions tool to track Bitcoin, Ethereum and other cryptocurrencies

Russia commissions tool to track Bitcoin, Ethereum and other cryptocurrencies  - russland blockchain min

The Federal Russian Financial Supervisory Authority (“Rosfinmonitoring”) has hired a company to develop an analytical tool. The tool is designed to track transactions in cryptocurrencies. This was reported by BBC Russia.

The Authority needs the tool to expand its ability to fight financial crime. The tool should be used to turn suspicious financial activities into searchable data. So one wants to leverage one of the great strengths of crypto currencies, the anonymous transferability,

The tracking tool is designed to collect and process data from Bitcoin wallets as well as from transactions. These data would then become part of extensive reports on suspects. These reports should also include names, bank accounts, credit or debit card details, and transaction history.

Rosfinmonitoring pays 195 million rubles (about 3 million USD) to the Moscow Institute for Security and Information Analysis (SPI). With the money, the company should develop the tool described by the end of 2018. Rosfinmonitoring is known to deny Bitcoin and similar cryptocurrencies. Significantly, in 2014, the agency attempted to make digital transactions illegal.

Meanwhile, Russia itself has a much more open attitude towards cryptocurrencies. This is especially true since the US imposed economic sanctions on the country. Moscow is currently finalizing regulations for cryptocurrencies and initial coin offers (ICOs). According to reports, cryptocurrencies “in a controlled amount” should be allowed as a means of payment.

However, the bill also reflects the concern that individuals could use cryptocurrencies for activities in gray areas. This includes, for example, the payment of bribes and black salaries in the Darknet. That could be a reason for Rosfinmonitoring's interest in tracking.

The construction of Bitcoin makes it possible to disclose transaction links between two wallets. The tracking agencies can then identify and track the wallet owners. In Denmark, it was already possible to arrest two drug dealers with the technology there, which according to their own statements was “groundbreaking”. Experts believe, however, that the development of rosin monitoring will not be “groundbreaking.”

So said the well-known Bitcoin supporter Andreas Antonopoulos:

“The question is not whether Bitcoin should be regulated or not, but whether it can be regulated. The real answer is “no”. Everything else is wishful thinking. “

Even Anton Merkurov, the editor-in-chief of Satoshi.fm, does not believe in such a method. In his opinion, the attempt to detect illegal crypto transactions is wasted time. It's like finding a microbe with a microscope in a drop of water.

Merkurov told the BBC:

“If you look at the total volume of laundered money, the part that was washed over cryptocurrencies is minimal. This should not be a priority. “

Russia commissions tool to track Bitcoin, Ethereum and other cryptocurrencies  -

Sources: BBC Russia (in Russian), Bitcoin.com, TheLocal, Pixabay

Author: Peter Joost – Source Post: https://www.kryptovergleich.org/russland-get-tool-to-track-from-bitcoin-ethere-and-other-cryptowehren-in-auftrag/

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