HomeNewsCrypto Homeland Security Bitcoin Task Force Is Very Real Crypto, NewsRumour has long been that Homeland Security in the United States has been interested in Bitcoin’s role in the buying and selling of drugs and other illegal goods and services, via the dark web in particular.However, a recent indictment form leaked from the US Department of Justice has solidified these rumours.The indictment form concerns accused marijuana and cocaine dealer, David Ryan Burchard, and the activities of Matthew Larsen, a Special Agent with Homeland Security Investigations (HSI).The section in particular that has concerned many with an interest in hiding their cryptocurrency activities comes under the third section in this document, under the subtitle ‘Facts Establishing Probable Cause’.It says: “I [Matthew Larsen] am part of a digital currency task force focused on identifying the use of digital currency to launder the proceeds of criminal activity.As part of this task force, I have been involved in several investigations into unlicensed digital currency exchangers and narcotics distributors on the dark web who use digital currency to receive payment for the sale of narcotics.

These investigations have brought my attention to numerous individuals who have been cycling through large amounts of Bitcoin.” There have been suggestions that this task force actually monitors the Blockchain in real-time for suspicious behaviour.bitcoin capital crypto fundIn this case, “specifically, in or around March, 2015, I [Matthew Larsen] began investigating David BURCHARD based, in part, on his sale of millions of dollars of Bitcoins to an unlicensed digital currency exchanger.bitcoin escrow exampleI was, and continue to be, unable to identify a legitimate source of BURCHARD’s large amount of Bitcoins.” This has led many to conclude that the task force is using a combination of public records and real-time Blockchain monitoring to fulfil their obligations.bitcoin conference washington dc

For those who use Bitcoin for more nefarious reasons, this could come as a blow to the perceived anonymity and safety of the virtual currency.However, for the vast majority of users whose actions are all ‘above-board, they need not worry, as the US is only concerning itself with the narcotics-related Bitcoin transactions, that is, for the moment.blog tentang bitcoinFollowing the forced closure of the exchange, ‘The Silk Road’, that ran on the TOR network, the ‘industry’ has been hit in quick succession by a number of actions that have attempted to curb the internet exchange of drugs.bitcoin multiple btcFor those who have sought safety for their drug dealings on the ‘dark web’, this will only serve as further proof of the increasing grip states have over their activities.buying bitcoin with credit card reddit

In a statement to technology magazine, Motherboard, the Tor Project said of the claims that Carnegie Mellon University had co-operated with the FBI in an attempt to breach the network’s security: “the Tor network is secure and has only rarely been compromised.The Software Engineering Institute ("SEI") of Carnegie Mellon University (CMU) compromised the network in early 2014 by operating relays and tampering with user traffic.That vulnerability, like all other vulnerabilities, was patched as soon as we learned about it.The Tor network remains the best way for users to protect their privacy and security when communicating online.” Furthermore, before that, in late 2013, it was learned that the FBI had installed malware on websites that were hosting child pornography through the taking over of the servers that were hosting it, further proving the United States’ global internet reach.Could this spell the end of the narcotics exchange industry’s dealings on the TOR browser, or will it only serve as a token reminder of the great risks associated with being employed in such a highly-prosecuted industry?

The full indictment form can be read here.I highly recommend reading it.The popularity of the digital currency Bitcoin is exploding.Today’s price spiked over $600, nearly double what is was just over a week ago.It seems the U.S.government now wants into the party.Today several federal agencies weighed in on the decentralized currency.While most agencies acknowledged its legitimate uses, the Department of Homeland Security referred to Bitcoin as an emerging threat.In a letter to the Senate Committee on Homeland Security and Governmental Affairs, DHS wrote that they have “been actively investigating the emerging threat and criminal exploitation of virtual currency systems that further transnational criminal operations.” DHS blamed “anonymity in cyberspace” and called for an aggressive posture to deal with Bitcoin and other crypto-currencies.“The anonymity of cyberspace affords a unique opportunity for criminal organizations to launder huge sums of money undetected,” they wrote.

“With the advent of virtual currencies and the ease with which financial transactions can be exploited by criminal organizations, DHS has recognized the need for an aggressive posture toward this evolving trend.” Besides targeting suspected black markets like Silk Road and so-called transnational criminal networks with an aggressive posture, the DHS also targets all virtual currency platforms and exchanges.“The multi-prong strategy employed by DHS also targets the virtual currency platforms and the network of virtual currency exchange makers.” Homeland Security seeks greater collaboration with law enforcement and private sector partners to reign in the growth and sophistication of cybercrime conducted in virtual currencies.See their full letter with recommendations along with notes from other agencies below: Virtual Currency Response Letters – Federal Agencies Respond to Homeland Security Committee Questions on Digital Currencies One can gather from their statement that they view financial anonymity itself as a cybercrime.

Bitcoin is considered a disruptive technology to the current banking system for many reasons, privacy chief among them.The ability to store accrued labor (wealth) privately, out of the reach of government or bankers, is now being treated as money laundering.As politicians around the world raid private bank accounts and pension funds to pay their debts to bankers, Bitcoin provides cover for citizens.As central banks race to devalue their fiat currencies — hurting savers and consumers — Bitcoin offers refuge.As commercial banks continue to raise fees and reduce services, Bitcoin makes them look foolish.As Wall Street continues to fudge numbers to confuse investors, Bitcoin provides transparency with an absolute supply and open transaction log.Bitcoin solves many problems of the current financial system.That is why its popularity is skyrocketing, not because people can buy weed online with it.But DHS is right, Bitcoin is an emerging threat — a threat to the establishment’s theft of the public — which they clearly aim to preserve.