Bitcoin, Crypto currency, Blockchain

Monero, ZCash & Verge: Privacy Coins should be regulated, according to the US Secret Service

Crypto-currencies offer a particularly high degree of privacy, many governments around the world to be a thorn in the eye, as this could be used for illegal financial activities. The U.S. Secret Service has now issued a recommendation of the Privacy tokens to regulate, such as Monero and ZCash.

The Deputy Director for investigations of the U.S. secret service, Robery Novy has recommended on Wednesday at a Congress to consider ways to regulate Privacy Coins. He stated (freely translated):

“It is critical that the United States will continue to work internationally to improve the controls in the context of the digital currency by organisations such as the Financial Action Task Force. We should also consider additional legislative or regulatory measures in regard to potential challenges currencies in connection with anonymity, improved Crypto, to carry services, the transactions should be on blockchains, and Cryptocurrency-Mining-pool cover.“

Furthermore, he stressed that digital currencies are used for illegal purposes, and the use of Malware and related technological crimes should be investigated (freely translated):

“The growing popularity of block chains has also led to the increase of criminal activities, which are closely related to their properties. To do this, Crypto-Jacking, theft of private key, Ransomware and attacks on Blockchain networks. The control of Assets on a Blockchain is obtained by exclusive control and access to the associated private cryptographic key; however, there have been numerous cases of crypto-currency thefts, the big exchanges, Wallets, and individual users concerned, which resulted from the theft and unauthorized use of private cryptographic keys. While Ransomware, which affects the operation of a computer as part of an extortion demand, has existed since the late 1980s, was currencies, an increase in the last four years through the use of Crypto as a means for payment of the extortion claims advanced.“

Thomas Ott, Deputy Director of the law enforcement division of the Financial Crimes Enforcement Network [FINCEN], and is consistent with Robery Novy and emphasizes that especially Privacy Coins should be investigated in more detail (freely translated):

“There were also developments in technology that enabled the obfuscation of the transaction and identity information with virtual currency. Anonymity improved crypto-currencies (AECs) – sometimes referred to as “Privacy Coins” – find themselves increasingly on exchange platforms, and amount to an average of 300 million USD, daily transaction volume of domestic and foreign stock exchanges.”

In the past, some exchanges had responded, e.g., Coincheck, under pressure from the government, and ZCash, Monero and Dash. A study at the beginning of February, however, has shown that Litecoin to Bitcoin, the most widely used crypto-currency in the Darknet.

If and when any regulation will follow, remains to be seen.

The price of Monero vezeichnet meanwhile, a decline of – 5,11 percent to a price of 95,92 EUR. With a market capitalisation of 1.5 billion euros Monero space 14 of the largest crypto currencies in the world.

ZCash has also seen a price drop of – 7.81 percent to a price of 144,29 Euro. With a market capitalization of EUR 605 million ZCash assigned currencies space 22 of the largest Crypto.

Verge is bleeding and loses – 7,77 per cent to a new price of 0,021 euros. Through a market capitalisation of EUR 316 million Verge slot 33 secures.

Disclaimer: — trading in crypto-currencies carries a large financial risk, and can be up to a total loss of the invested capital. Coin-hero.de does not constitute investment advice and recommendation within the meaning of the securities trading act (WpHG). The website content is intended solely for the Information and entertainment of the reader. The statements made here represent only our own opinion and not a recommendation to buy. Please do your own research, before you invest in crypto-currencies. We do not accept any liability for any kind of damage. Please also read our disclaimer in the imprint. —

Leave a Comment