Digital-Asset Intelligence Firm and Crypto Crimes

Money laundering and other illegal activities have the potential to inflict serious damage to companies. Thus, banks, smaller virtual asset service providers, and other money service businesses can minimize their exposure by deploying effective Anti-Money Laundering (AML) measures. Crypto owners should pay more attention to such issues.

Importantly, due to coronavirus pandemic, people started to spend more time at home. Scammers are willing to use this opportunity to earn money by using various methods. People all over the world should pay attention to such cases to safeguard their assets.

Crypto industry and various factors

Unfortunately, there is no lack of crypto-related crimes. Nevertheless, people should take into consideration that the criminal use of Bitcoin and other cryptocurrencies is very low. For instance, less than 0.2% of the funds accepted by crypto exchanges come directly from criminal sources.

However, crypto owners should keep in mind that criminal groups may use various methods to steal their assets. For example, criminals could target crypto owners by impersonating various coronavirus-related organizations such as the World Health Organization (WHO), Red Cross, etc.

Let’s have a look at the report prepared by the digital-asset intelligence firm CipherTrace. released its report connected with crypto-related crimes. This report contains interesting details regarding such crimes. The value of ill-gotten funds siphoned through cryptocurrency crimes over the first five months reached $1.4 billion. Furthermore, if things continue at the same rate, the total value of stolen crypto has the potential to come close to $4.5 billion as it happened in 2019. This data underlines the severity of the problem.

Last but not least, 98% of the total value of stolen crypto, nearly $1.3 billion can be attributed to fraud and misappropriation. It means that criminal groups focus on such methods instead of cyberattacks and direct thefts. Cryptocurrencies have the potential to tackle at least some of the issues associated with fiat currencies. Private and governmental organizations should work together to identify crypto-related crimes.