• mountainriver@awful.systems
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    1 year ago

    Something I have been pondering is why when going after Bitcoin from crimes (ransom or stolen) they don’t just declare the individual “coins” stemming from illegal proceedings and that when they show up the “coins” will be confiscated and the holders investigated for money laundering. They have a serial number of sorts, right?

    It should decrease the trade value of the “coins”, might even have the added benefit of scaring people of from the scam currencies. Ay, there might be the rub, for in this modern world of ours suppressing financial “innovations” is treated as worse than scams.

    • David Gerard@awful.systemsM
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      1 year ago

      the other two answers are correct, but also they totally do. In particular, the blockchain analysis companies alert companies using their services to the transaction touching tainted coins. This is variably effective, of course.

      But also, there are plenty of non-US/EU exchanges that don’t give a hoot and once tainted coins hit an exchange they’re washed because these exchanges are very good at having pretend KYC/AML.