The Japan National Police Agency (NPA) is intended to finance the development of new software to help track down people behind illicit encryption transactions.
According to a report by the NHK on Thursday, the NPA has a budget of 35 million yen ($ 315,000) for 2019 to finance product creation – outsource the technological development of software for the private sector.
The NPA claimed that the software will track the flow of blockchain transactions marked as suspicious and "display and locate" the people who send or receive the cryptocurrency.
The effort apparently comes in response to the growing number of suspected criminal cases in Japan involving cryptocurrency. Given the anonymity of blockchain operations, police forces in the country are having difficulty conducting further investigations.
At the start of this year, the NPA has revealed that it has received 669 reports of suspected money laundering from Japanese cryptos in just eight months of 2017, as reported by CoinDesk.
In addition, according to an annual report revealed by the agency in March, hackers stole at least $ 6.2 million of cryptocurrencies from the Japanese user exchange and portfolio accounts in 2017.
Also the & # 39; The cryptocurrency industry in Japan was successful in January after the Coincheck exchange recorded a $ 520 million incision, which resulted in calls from regulators to implement better crypto anti-money laundering and security measures.
Image of the Japanese police car via Shutterstock