Chapter 8Cryptocurrency Tumblers and Mixing Services
In 2018, financial investigators of more than 30 nations discussed how to combat the misuse of cryptocurrencies by criminals.
The growing concern about the rising use of cryptocurrencies in illicit activity all around the world is getting louder and louder—almost competing with stories about cryptocurrency volatility.
More than 60 financial investigators from the Interpol and Europol organizations of more than 30 countries in January of 2018 attended a cryptocurrency workshop to discuss measures that can be taken to combat the misuse of cryptocurrencies by criminals.1
According to Rob Wainwright, head of Europol, as much as $5.5 billion USD was being laundered through cryptocurrencies annually.2
While blockchain provides a public ledger of all crypto transactions, criminals are using cryptocurrency tumblers or cryptocurrency mixing services to obscure the trail back to the fund's original source.3
SOURCE: Recorded Future.
Newer cryptocurrencies such as Cloakcoin, Dash, PIVX, and Zcoin have built‐in mixing services as a part of their blockchain network. Monero, drug dealers' favorite cryptocurrency, provides anonymity without tumbling services due to its privacy‐centric blockchain design. Therefore, more effort needs to be placed on monitoring cryptocurrencies with privacy or mixing services features, crypto mixers, and tumblers, ...
Get Sustainably Investing in Digital Assets Globally now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
