Cryptocurrency and Crime: The Misunderstood Truth
- According to a new report published by Homeland Security Investigations (HSI) and Crypto ISAC, regulated crypto platforms are providing significant support in the fight against crime by using the transparency of blockchain. 💼
- The report states that the rate of illegal activities in cryptocurrency transactions is quite low. For example, only 0.34% of on-chain transactions in 2023 were related to illegal activities.
- Unlike cryptocurrencies, traditional finance (TradFi) systems do not have public blockchain technology to track transactions. This increases the traceability of cryptocurrencies.
- KYT (Know Your Transaction) tools provide real-time transaction tracking using the transparency of blockchain, which offers a great advantage in the fight against crime. 🔍
- As a result, cash remains the preferred tool of criminals, but blockchain technology and cryptocurrencies have significant potential in the fight against crime.