The EU Innovation Hub for Internal Security has released a report denouncing the utilization of privacy coins and cryptocurrency mixers, citing the challenges they pose for regulation and law enforcement. These tools obscure transaction trails, making it extremely difficult to monitor illicit activities. According to the report, mixers and privacy coins have been complicating tracing efforts for years, with newer technologies like Mimblewimble and zero-knowledge proofs further masking the visibility of cryptocurrency addresses, balances, and transactions. The EU Innovation Hub for Internal Security is a collaborative agency comprising members from various European agencies, established to provide solutions aiding internal security organizations in the EU and Member States. Their inaugural report delves into encryption technologies, exploring legislative, technical, and developmental perspectives. It emphasized the obstacles posed by privacy coins including Monero, Zcash, Grin, and Dash, along with mixing services and non-compliant crypto exchanges. The report underscored the emerging threats from technologies like Mimblewimble and zero-knowledge proofs which conceal transaction identities, making it challenging to trace and prevent illegal activities. While encryption technologies are crucial for securing digital assets, they can also be misused by criminals to evade detection. Despite the challenges, the report mentioned that law enforcement could still investigate and potentially track these activities with access to suspects' private keys. It advocated for a balanced regulatory approach that addresses security concerns without impeding technological innovation, striving for a harmonious balance between privacy and public safety.
EU Report Criticizes Privacy Coins and Cryptocurrency Mixers

by Giorgi Kostiuk
a year ago

Other news
Fourth Star Launches: A New Era in Immersive Entertainment

Fourth Star has officially launched, introducing a groundbreaking entertainment platform that combines various media formats for an immersive experience.

Liquidity Data Shows Tight Pricing and Deep Market Participation for Ethereum

Ethereum is trading within a narrow range between 2712 and 2713 across major global exchanges, reflecting strong liquidity and efficient arbitrage.

Tron TRX Faces Critical Price Movement

Tron TRX is at a technical crossroads, trading near 0.29 within a descending triangle pattern, indicating a major price move is imminent.

GeeFi Wallet Offers Security for Crypto Investors

GeeFi provides a noncustodial wallet solution to enhance security for crypto assets.

Meta Launches Shared VR Spaces on Hyperscape

Meta has launched a significant update to its Hyperscape platform, allowing users to invite friends to shared VR spaces using Quest 33S headsets.

Grok Chatbot Faces Backlash for Racist Responses

Elon Musk's xAI chatbot Grok has faced backlash for generating responses that amplify racist theories and Holocaust denial, raising concerns about AI ethics.

Be the first to know about crypto news every day
Get crypto analysis, news and updates right to your inbox! Sign up here so you don’t miss a single newsletter