The anonymous virtual currency called Bitcoin will no longer remain incognito as the European Commission has decided to register the names of all the Bitcoin users in their database for tracking them. As a result, the EU will be able to accumulate authentic identifications of numerous users of this virtual currency also helping them to trace the respective locations for each bank account.
Previously, a virtual currency like Bitcoin was untraceable, thus making it an exceptional piece of tool for cyber criminals for making payments of illicit activities online. Due to the untraceable nature of Bitcoin, a majority of ransomware claim for payment in this manner by entirely cloaking the source of the receiver.
Report to your local police authorities if you find these cyber criminals anywhere.
According to the reports of Softpedia, which states that the EU wants to create a database of cryptocurrency, the first step taken against Anti-Money Laundering Directive reform (ALMD) in short.
This step will also bring diversity in the world of virtual currency as competition for Bitcoin will become stronger.
It has been reported that the government faced numerous challenges for legalizing the whole concept of Cryptocurrency as various institutions are yet to consider Bitcoin as a legit form of payment. To prove this point, a judge from Miami even decided to completely ignore a case against a criminal who managed to launder $1500 worth of Bitcoins illegally, simply because there were no laws imposed previously.
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Thus the created database of the EU will connect these virtual currencies to their respective users, which in return will also abolish anonymity used by these users.
The whole process will be carried out by the providers of these virtual currencies who will need to register the names and addresses of their respective customers. The central intelligence will then have the access to find out further information. They believe that this step will bring down the crime rate in such places, or at least help them identifying or tracking the source of such criminals.
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