The Idea of Cryptocurrency Regulations May Do More Harm Than Good
Crypto Currencies have long been associated with cyber crime. The Cryptocurrency Bitcoin was the main crypto currency used by the notorious online black market Silk Road allegedly founded by Ross Ulbricht. It remains the preferred payment method for Darknet users and majority of cyber and ransomware attacks, demand that payments be made in Bitcoin.
The most notorious ransomware attack, Wannacry, targeted computers running the Microsoft Windows operating system by encrypting data and demanding ransom payments in Bitcoin.
There’s also a new form of powerful malware called Loapi, which secretly mines cryptocurrency on a person’s smartphone, which can physically damage the device if it is not detected.
Large Wallstreet Investment Firms are betting on the bright future of Cryptocurrency, but, most government officials say that cryptocurrencies are highly associated with criminal activity.
Implementing Cryptocurrency Regulations
Due to the nature of Cryptocurrencies and unlike Fiat Currency, they are not issued or overseen by a regulatory body. Although, cryptocurrency regulations have been in the wing of Cryptocurrency regulations talks. As of today, cryptocurrency regulations have been slow and scattered.
Unfortunately, it appears that Cryptocurrency regulations may be harming the good guys more than the criminals!
Experts blame Offshore Cryptocurrency Exchanges for most of the problems of Cryptocurrency Crimes. The problem is that, most of these Exchanges are unregulated especially ones that are not located in the U.S. or Europe, which must comply with anti-money laundering and know your customer laws.
Whatever the government decides to do with the regulations of Cryptocurrencies, the best way to stop cyber criminals is for Companies and Organizations to tighten up on the security practices that prevent hacks from happening in the first place.