On October 1, the US Department of Justice announced the indictment of four BitMEX executives, charging the group with violating the Bank Secrecy Act (BSA), and conspiring to violate the BSA by “willfully failing to establish, implement, and maintain an adequate anti-money laundering (“AML”) program.” On the same day, the Commodity Futures Trading Commission (CFTC) filed a civil enforcement action charging five entities…
Taking center stage in a key-note address at the virtual 2020 ACAMS Las Vegas Conference, FinCEN Director Kenneth A. Blanco clarified a long-standing confusion banks have had regarding their exposure to cryptocurrencies and the steps they must take the mitigate these risks. Director Blanco said that FinCEN continues to focus its efforts on a number…
I would like to address the issue of the privacy of cryptocurrency transactions, and the role of cryptocurrency tracing companies in helping the world of crypto become safer, more widespread, and more legitimate, while still preserving the privacy of individuals. There have been opinions expressed on Twitter and Reddit that cryptocurrency tracing companies are violating…
As the COVID-19 pandemic evolves, CipherTrace is focused on the health of our employees and our customers. We are following guidelines issued by the CDC, WHO, and public health officials. We now hold customer meetings online using Zoom, and are available to you on email, Slack, and text messaging. Fortunately, we were prepared with the…
Governments have a new “travel rule” coming your way, and it has nothing to do with what you can put in your carry-on. In guidance released on June 21, 2019, the Financial Action Task Force (FATF) updated its recommendation regarding the need to adequately mitigate the money laundering and terrorist financing risks associated with virtual… Read more
The recent hack of the world’s biggest cryptocurrency exchange, Binance, highlights the need for heightened security in the crypto space. In what Wired reported as “a ‘large-scale security breach,’ hackers stole not only 7,000 bitcoin—equivalent to over $40 million ($56 million at the time of this writing, just one week later)—but also some user two-factor…
In October 2018, the Financial Action Task Force (FATF) amended its Recommendation to clarify how the FATF standards apply to activities or operations involving virtual assets. Recently, FATF asked for consultation comments with regards to a draft “Interpretive Note to Recommendation 15.” Explaining the need for revision, the FATF said: “Recognising the need to adequately…
In light of recent events regarding the acquisition of blockchain analytics company Neutrino, CipherTrace wants to make our position about privacy and confidentiality clear. CipherTrace has received numerous inquiries from the media and customers regarding our privacy policies. On February 19, Coinbase acquired a blockchain analytics company, Neutrino. Neutrino was founded by executives from the…
CipherTrace Cryptocurrency Threat Bulletin The European Union’s new General Data Protection Regulation (GDPR) https://www.eugdpr.org), which takes effect on May 25, 2018, will negatively impact the overall security of the Internet and will also inadvertently aid cybercriminals. By restricting access to critical ICANN WHOIS information, the new law will significantly hinder investigations into cybercrime, cryptocurrency theft,…
Applied Cryptography Innovation is a Cambrian Explosion that will Transform the Next 50 Years of Civilization $4B was funneled through ICOs into applied cryptography research and blockchain development in 2017 and early 2018. Even more, funding has been provided from cryptocurrency and venture capital investors in pursuit of innovation. The dramatic market capitalization increases in cryptocurrencies…
