The Challenges of Investigating Cryptocurrencies and Blockchain Related Crime

We increasingly live in a world where there is a balance between the rights to privacy and the requirements for consent, and the rights of society to protect itself. Within this world, there is an ever-increasing requirement to protect the identities involved within financial transactions, but this makes things increasingly difficult for law enforcement agencies, especially in terms of financial fraud and money laundering. This paper reviews the state-of-the-art in terms of the methods of privacy that are being used within cryptocurrency transactions, and in the challenges that law enforcement fac

Corruption and Cryptocurrency

Cryptocurrency has become ubiquitous and is evolving constantly. The question is if our legal framework is catching up with it. Therefore, this article analyzes the arguments on the legitimacy and legality of cryptocurrency in order to emphasize the relation between corruption and cryptocurrency. The research has enlightened some cogent arguments on the possibility of perpetrators committing corruption acts through cryptocurrency. These arguments basically refer to some of the unique characteristics of cryptocurrency such as the quick value fluctuation, the difficulties in tractability and the lacking current legislation. The unique features of it may headline cryptocurrency as an immensely attractive environment for corruption activities. Hence the world has already faced some tangled scamming scandals with cryptocurrency specified herein. Therefore, the aim of this article is to highlight the possibility for corruption acts to be committed through cryptocurrency as a form of corruption unknown before

Identificación y priorización de los desafíos del uso de criptomonedas en transacciones internacionales

Las criptomonedas han atraído la atención de muchos inversores, empresarios, reguladores y el público de hoy. Por definición popular, la criptomoneda es un activo en una cadena de bloques que puede transferirse entre actores en la escena del intercambio y, por lo tanto, usarse como un instrumento de pago. Las criptomonedas completamente descentralizadas como Bitcoin han atraído el interés público y tienen mucho más éxito que el dinero electrónico anterior. A pesar de la importancia de estas monedas, en países del tercer mundo como el país de Irán, las personas no están interesadas en usar este tipo de monedas para sus operaciones. Entonces, en este estudio, encontramos y clasificamos los desafíos del uso de criptomonedas en el comercio internacional. Con este fin, los desafíos de usar criptomonedas se identificaron mediante la revisión de la literatura. Luego, los factores identificados se priorizaron utilizando la técnica AHP. En general, se compararon cuatro criterios y veintiocho criterios. Los resultados muestran que los factores técnicos son los criterios más importantes en comparación con el propósito; la toma de riesgos es la razón de persona más importante; La actitud negativa hacia las criptomonedas en la sociedad es la razón social más importante; La falta de fondos suficientes para desarrollar el uso de las criptomonedas y la imposibilidad de encontrar adecuadamente a las partes en la transacción es la razón técnica más importante que puede afectar la adopción de las criptomonedas en el comercio internacional

Normatividad de las criptomonedas en países desarrollados

Este documento hace referencia al estudio de la normatividad de las criptomonedas en países desarrollados, dado que fueron los pioneros en la implementación y uso de los criptoactivos. Se analizará el surgimiento de las normas que regulan estas monedas virtuales en los países desarrollados que más han trabajado en regularlas, afronta en su primera parte el análisis en Europa, en donde la Unión Europea promulgó una normativa que entre otras cosas buscaba supeditar la actividad de los proveedores de servicios de criptomonedas, a partir de este mandato los miembros de la UE desprendieron y desarrollaron las leyes para cada una de sus naciones, destacándose entre ellas España, Finlandia y Alemania. La segunda parte de este abarca el funcionamiento de las criptomonedas en los países mencionados, la facilidad para encontrar mercados que las aceptan, la posición de los bancos en cuanto a este tema y la postura del estado con respecto a la fiscalización de estas. Y como caso particular se encuentra Estados Unidos, país con 50 estados en los que cada uno cuenta con una regulación independiente para darle manejo a las criptomonedas, allí se han presentado grandes demandas por casos de fraude y corrupción en las organizaciones que han trabajado con criptoactivos, casos en los que muchas de las entidades regulatorias han intervenido y sancionado múltiples de compañías. Como consecuencia de la puesta en marcha de las leyes y normativas que legalizan el uso de los criptoactivos, cada vez es más fácil acceder a ellas y utilizarlas como medio de pago en numerosos mercados a lo largo del mundo.Universidad Libre Seccional Pereira -- Facultad de Ciencias Económicas, Administrativas y Contables -- Contaduría públicaThis document refers to the study of the regulations of cryptocurrencies in developed countries, since they were the pioneers in the implementation and use of cryptoactives. We will analyzed the emergence of the norms, that regulate these virtual currencies in developed countries that have worked ta lot to regulate them. . In its first part, it deals with the analysis of Europe, where the European Union promulgated a regulation that, among other things, sought to subordinate the activity of cryptocurrency service providers, from this the members of the Eropean Union released and developed the laws for each of their nations, standing out among them Spain, Finland and Germany. The second part of this, covers the operation of cryptocurrencies in the countries mentioned, the ease of finding markets that accept them, the position of banks regarding this issue and the position of the state regarding the control of these. And as a particular case is the United States, a country with 50 states in which each one has an independent regulation to manage cryptocurrencies, there have been large lawsuits for cases of fraud and corruption in organizations that have worked with crypto assets, cases in which many of the regulatory entities have intervened and sanctioned multiple companies. As a consequence of the implementation of laws and regulations that legalize the use of crypto assets, it is becoming easier to access them and use them as a means of payment in numerous markets throughout the world

Comparative analysis of Latvian and Estonian AML requirements in regards to the virtual currency exchange service providers – theory and practice

Money laundering is considered as one of the most significant types of financial crime. Its magnitude has only increased in the past decade alongside with the development in the technological field. Since the regulatory framework seeks to mitigate threats posed by existing financial instruments, persons willing to initiate these actions still find new ways to proceed with illicit activities. In that regard, this thesis focuses on comprehending regulatory scope and requirements governing virtual currency exchange service providers at the high level (European Union), while further analysis emphasises their implementation in Estonian and Latvian regulatory framework. By comprehending minimum requirements set in respective legal systems, in-depth analysis and further comparison will highlight differences, which arises between regulatory attitudes towards these service providers stemming from both member states of the EU. Since virtual currency as such has been legally defined only by the 5th anti-money laundering directive, the regulatory application remains uncertain, therefore theoretical and practical analysis, thus comparison seeks to comprehend different approaches considered by respective jurisdictions

Las criptomonedas como medio de blanqueo de capitales, Lima Norte, 2020

La presente investigación titulada “Las criptomonedas como medio de blanqueo de capitales, Lima Norte 2020”, tiene por objetivo general determinar de qué manera las criptomonedas pueden ser usadas para el lavado de dinero. Para dicho efecto se tomó como referencias antecedentes y las diversas teorías que se relacionan al tema de investigación y que definen los conceptos de criptomonedas, blockchain, descentralización, Bitcoin, lavado de activos, colocación, intercalación e integración. La investigación sigue los lineamientos de tipo básico, teniendo como participantes a Fiscales y Abogados especialistas en la materia de lavado de dinero. Con los cuales, se utilizó el instrumento de recolección de datos denominado guía de la entrevista, la cual permitió recabar información relevante respecto al uso de criptomonedas y su asociación a hechos delictivos. De la discusión, se desprende que existe un riesgo enorme respecto del uso de las criptomonedas como nueva modalidad de lavado de activos. Es por ello, que se realizó el análisis documental de resoluciones judiciales y sentencias relacionadas al delito de lavado de activos y criptomonedas. Concluyendo así, que las criptomonedas si pueden ser usadas en el blanqueo de capitales, debido a su gran complejidad tecnológica y la falta de regulación legal de su uso

Blockchains for use in construction and engineering projects

This chapter describes blockchains and illustrates this explanation using the results of a prototype project for an industrial application for a construction project. The chapter describes the application and how modular software components can be used to assemble a blockchain solution. The chapter concludes with a design of the system architecture. The background to blockchain technology includes a description of the evolving nature due to communal, open software consortia and an accelerated prototyping of systems. Four recommendations are made in the chapter. These include the need to form consortia for prototyping applications, encouraging government involvement, the need for engagement with the open software development community, and the suggestion that systems should be designed to support Lean production. A final section offers a range of discussion topics on the current state of the technology and where to expect area of increased interest. These are summarized in three areas: Lean management, Industry 4.0 and smart cities, and topics around privacy and security

Cryptocurrency and Financial Risks

Since its inception, the cryptocurrency\u27s exceptional growth has put financial institutions at high risk of exposure to money laundering. In financial institutions, specifically banks, Anti-Money Laundering and Bank Secrecy Act (AML/BSA) risk specialists, bank managers, and compliance officers get challenged in identifying cryptocurrency-related transactions and customers who conceal illegal funds. Interviews conducted with the AML/BSA risk specialists, bank managers, and compliance officers were analyzed to understand how banks combat the cryptocurrency-related money laundering in the USA banking system. Interview with the Director of Financial Investigations & Education at CipherTrace as an expert in blockchain forensics was evaluated to recognize bank regulation and compliance. The case studies were assessed to understand the banks\u27 program and regulation deficiencies and their inability to identify suspicious accounts. Interviews and case studies findings suggest that cryptocurrency-related money laundering is a risk for banks who lack proper tools, programs, and adequate well-trained and well-educated staff in mitigating cryptocurrency-related risks. Support provided by FinCEN regulation and guidance and external vendors is seen as critically valuable in assisting banks to combat cryptocurrency-related money laundering financial crimes

Strategies for Cryptocurrency Adoption in Contemporary Businesses

Millions of Bitcoin transactions occur daily, worth nearly $2 billion annually. With the proliferation of cryptocurrency markets, the reluctance to adopt the currency as an alternate payment method could cause businesses to forgo growth opportunities within this expanding market. Grounded in the diffusion of innovation theory, the purpose of this qualitative multiple-case study was to explore strategies business leaders use to respond to the alternative payment concerns perpetuated by cryptocurrency markets. The participants comprised 6 business leaders who effectively employed cryptocurrency adoption strategies. Data were collected through semistructured interviews, corporate documents, and other company social media resources. Thematic analysis of the data resulted in 4 common themes: commitment to innovation as a relative advantage, cryptocurrency compatibility within the organization, overcoming the complexity of cryptocurrency adoption, and trialability and observability of innovative technology. Key recommendations include creating business models to encourage more cryptocurrency transaction-based outcomes and creating cryptocurrency education and training programs for employees and customers. The implications for positive social change include the potential to assist unbanked individuals who lack creditworthiness to gain access to more goods and services to improve their overall standard of living