Over the years, the cryptocurrency market has attracted the attention of international regulators due to its rapid expansion. From starting out as a concept to being included in the national registries, the cryptocurrency field has definitely come a long way.
The increase in popularity has also caused certain sectors, such as the United States Department of Homeland Security [ DHS ], to sit down and take notice. In its latest budget, the DHS set out provisions to combat nefarious activities carried out using cryptocurrencies.
The DHS has identified ways to fight crimes on a scale that has grown due to the rapid advancement of technology. Cryptocurrencies have become an integral part of the department due to the increasing number of attacks and industry-related scams.
In order to address the issues of cryptoverse, the DHS has decided to set up a system that will make it a core concern. The Cryptocurrency Intelligence Program [ CIP ] will be a cryptocurrency-centric initiate against unlicensed cryptocurrency companies and their shady dealings. According to the official release:
“[The Cryptocurrency Intelligence Program] identifies unlicensed money services businesses in the form of independent cryptocurrency brokers’ use of P2P sites, online forums and classified advertisements, and darknet markets (DNM) to engage in unlicensed money services businesses (MSB) activity.”
The Cryptocurrency Intelligence Program [CIP] was developed by the Bulk Cash Smuggling Center and will target the crypto capital movement involved in narcotics. Studies have repeatedly stated that the narcotics industry is gaining a massive influence on the cryptocurrency market. The release clearly shows that the darknet was the main focus of the CIP. The Darknet practice has only increased over the years, and 2019 saw a massive spike in transactions.
The budget also proposes the return of the US Secret Service to the Treasury. It was recommended that new solutions be found in the investigation of crimes involving digital assets. The Agency believed that to ignore the industry now would only result in more harm in the future.
To ensure that the DHS’s powers are used for tackling technological crimes, the US Immigration and Customs Enforcement had established the BCSC in 2009. Ever since the cryptocurrency industry boomed following the bull run of 2017, the BCSC has made sure to keep a close watch on the industry. It is also the reason for the BCSC’s increasing push towards blockchain and P2P sites.
Donald Trump, who is on a visit to India at the time, had earlier vowed that the country’s agencies should look into emerging issues. The latest DHS initiative could just be a step in the right direction for a government that has been struggling to keep cyberattacks at bay.