The use of bitcoin by criminals has been the talk of the town for a while now. Several representatives from law enforcement agencies have revealed the unawareness about cryptocurrency and the criminal elements in the process.
Europol is doing everything possible to learn about different altcoins as well as how they are used. The study is necessary since it helps to understand how criminals use bitcoin and shifts to Monero, Dash, and Zcash.
Europol also was known as the European Union Agency for Law Enforcement Corporation is highly apprehensive about refined criminals and how they are switching to alternative cryptocurrency as the investigators focus on just bitcoin.
Some of the alternatives mentioned as appearing on the list of the EU law agency include Monero, Dash, and Zcash.
Speaking to Business Insider, Jarek Jacubchek, a cyber-crime analyst at Europol explained that there were evident and distinct changes from bitcoin to cryptocurrencies providing privacy of the highest degree.
Jacubchek further explained that you could achieve privacy on a higher level through these altcoins, which uses stealth as the basis, such as Monero. Coins such as Dash don’t have stealth addresses, but transparent addresses, and they also have a mixing process which is part of the procedure.
The shift from bitcoins to altcoins is likely due to two significant trends. First, Bitcoin exchanges are under regulatory force to implement a similar anti-money laundering (AML) and know your customer (KYC) practices of conventional financial institutions, like using photo IDs when opening accounts, these measures scare away criminals.
Second, the police are already aware of the prospective use of bitcoin and are working ways out to keep track of the bitcoin transactions by suspects. Furthermore, when shifting different cryptocurrencies, people can hide their tracks from investigators.
Nevertheless, being the original cryptocurrency, bitcoin is the most commonly used by criminals, and it is used the same way it is used by other citizens who abide by the law. Tom Robinson, the co-founder of Elliptic explained that majority of illegal activities in cryptocurrency also happens in bitcoin and this is because of the ease of exchange and the innovative infrastructure.