According to reports, the Japanese National Police Agency is installing a system to track the flow of cryptographic transactions in order to facilitate investigations on cybercrime related to cryptocurrency. The system should be limited to the main cryptocurrencies, according to local media.
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Cryptographic transaction monitoring
Japan's National Police Agency (NPA) has announced on August 30th that " has mapped a policy to introduce software the next fiscal year to view the history of virtual currency transactions against money laundering, mass theft and other cryptocurrency cases," he said. Yomiuri Shimbun.
"Traditionally, many criminal crimes involving virtual currencies involve transactions through multiple accounts," Fisco announced, adding that the police "had to track down [an] huge [amount of] records during the investigations. " Elaborating the new cryptographic tracking system, the publication described:
The service's objective is limited to major currencies such as bitc oin (BTC) and ethereum (ETH), and should be available for use by &. National Police Agency, from Tokyo Metropolitan Police Department and Osaka Prefectural Police Department next fiscal year.
According to Nikkei, the National Police Agency submitted a budget request for 2019 estimated at 2.7 billion yen (~ US $ 24.3 million) to cope with the cybercrime threat, including those aimed at cryptocurrencies.
NHK noted that the agency plans to add 35 million yen (~ $ 315,203) to the budget request "for the related expenses necessary for the introduction of the software [the]."
Reaffirming that "the software can extract the transaction data needed for an investigation from a huge volume of data, making computer surveys more effective," explained Yomiuri Shimbun:
The special software developed by a private company to extract the transaction data necessary for the investigation. The software can also show information about virtual currency exchange operators, information that is not in blockchain databases.
Nikkei also commented that "making it possible to track the flow of transactions in a top view", the software can be used "to investigate the crimes that virtual currency entangles."
Fight against cybercrime
According to the National Police Agency, the system will help with the speed and efficiency of investigations on cryptography of concrete crimes including fraud and money laundering.
The agency revealed in February that there were 669 cases of "suspicious transactions" reported to the government by encryption exchanges from April to December last year
In March, the agency released its annual cryptocurrency statistics for the first time, showing 149 cases of hacking attempts for individual cryptocurrency accounts the year The total damage caused by unauthorized remittances was 662.4 million yen (~ $ 5,965,441), reports Nikkei. The funds were stolen from 16 companies including cryptocurrencies and three portfolio providers.
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