Homeland Security Bitcoin Task Force Is Very Real

For quite some time now, there have been rumors circulating on the Internet about so-called Bitcoin “task forces” which are created to track down illegal or suspicious activities on the blockchain. A leaked screenshot of a recent arrest made in California shows how these task forces are very real. Although it is not difficult to track the origin and destination of just about any bitcoin transaction on the blockchain, law enforcement agencies are stepping up their game by the look of things.

Also read: EDRC Digital Currency Is A Clear Scam With No Innovation

Task Forces Are Tracking Bitcoin Transactions In Real-Time

TheMerkle_Homeland Security Bitcoin Task Force

People who have nothing to hide should not be worried about these so-called Bitcoin task forces, as there is nothing illegal in what most people are using this modern digital currency for. Internet criminals, however, might want to think twice before accepting Bitcoin payments from now on, as it looks like law enforcement is catching up with the rise in popularity of this modern digital currency.

The blockchain is as transparent as a payment ledger has ever been, as anyone in the world can track a transaction from source to destination in real-time. However, that does not mean just anyone can link an identity to a specific wallet address as that kind of information is off-limits to everyday consumers and enterprises.

Law enforcement agencies – especially Homeland Security – on the other hand, seem to have access to specific tools that will let them monitor Bitcoin transactions and link it to personal behavior. Although the exact details of how this would work, remain shrouded in mystery for the time being, a recent police report shows how one man was arrested for selling drugs on the darknet, and one law enforcement official tracked him down based on his Bitcoin activity.

The report also mentions how a combination of surveillance and public records were used to find the home address of this individual. Although users need to install Tor before they can access the darknet, that technology has been breached by the FBI – in collaboration with Carnegie Mellon University – not too long ago. By the look of things, law enforcement agencies still have some access to Tor, which allows them to obtain sensitive information about its users.

Despite the media thinking internet criminals prefer bitcoin payment options for their anonymity, it looks like that scenario is coming to an end. Now that dedicated Bitcoin task forces are a real thing, any shred of anonymity associated with digital currency has just evaporated.  Granted, not everyone will be caught, but the risk factor has increased by a significant margin.

Source: Department of Justice

Images credit 1,2

If you liked this article follow us on Twitter @themerklenews and make sure to subscribe to our newsletter to receive the latest bitcoin and altcoin price analysis and the latest cryptocurrency news.

  • aubreykohn

    If you want privacy, safety from extortionists and political operators, you mustn’t use bitcoin. Instead you must use the opaque blockchain of Monero, which protects it’s users from malign actors.

  • Guriqbal Pandher

    Anybody using Bitcoin for privacy is a fool. Use Monero to stay untraceable

    • Expanse <3

      Is it a good one?

  • hcg2007

    If you read the affidavit (which the author incorrectly calls a “report”), you will see that none of the evidence was found, collected, or otherwise acquired using the Bitcoin block chain. In fact, very little about Bitcoin was mentioned beyond it being used as a method of payment.

    Here is how they found him:

    “Specifically, in or around March, 2015, I began investigating David BURCHARD based, in part, on his sale of millions of dollars of Bitcoins to an unlicensed digital currency exchanger.”

    “I reviewed a document entitled “Silk Road NTC Vendor List,… contained a list of vendors on Silk Road with over $100,000.00 in sales … Green Dot indicated that $865.00 was transferred from this code to a Green Dot Network partner AccountNow Prepaid Visa card in the name of DAVID BURCHARD, with a zip code of 95348.”

  • fatso

    Monero is the best coin for privacy. The DNM’s will eventually be forced to use this coin.

  • Expanse <3

    Awesome! TASK FORCES can be tracking BITCOIN TRANSACTION.

  • it would be nice to be able to see a follow up… there are a few blockchain cryptocurrencies claiming privacy in their transactions… what is there?