New algorithm to reveal the Bitcoin theft – Coin Hero

New algorithm to reveal Bitcoin theft

Home News New algorithm to Bitcoin theft reveal

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Matthias Nemack –
22.01.2019

Even in 2018, there have been several comprehensive reports of stolen Bitcoins at the crypto exchanges. A new algorithm to detect thieves, despite money laundering activities.

Scientists want to make the theft untraceable

Again and again since the Boom in crypto currencies via illegal accesses to Wallets and crypto exchanges reported. Especially the Bitcoin is a popular target for Criminals, because of the Coin-the one with the highest listing. But also Ethereum, Bitcoin, Cash, and other digital currencies will disappear in the context of hacker attacks, sometimes in the shallows of the WWW. The search for the stolen property is difficult. However this will change due to new research results of a team of Cambridge may soon.

Stolen Coins are often paid off first, again

The key to the future traceability of stolen Bitcoins is supposed to be a new algorithm – this is the name of the Taintchain. Self-consuming measures of money laundering, according to the researchers, the can the tracking of the tracks not completely prevent it. Background of the approach, the so-called principle of “FIFO”, this is by no means new. The acronym stands for “First-in-First-out principle”. The three researchers focused in your System, the thought of that first stolen Bitcoins in a Wallet also later first, to the payment – in short. Even though Criminals may have other procedures and pattern prefer to work the algorithm in the evaluation of the data to Bitcoin Wallets.

Criminals develop new methods

Whether in this way, in fact, coverage can be discovered, must show. By random in the case of money laundering, Criminals could be, according to critics, however, successful. Important is, that there are more concepts to protect the crypto market and, thus, the user better. This should occur at the end, of course, not only for Bitcoin but also for other Blockchain systems, such as Litecoin new Standards.