Cryptocurrency

Bitcoin

Tornado Cash

Security

Tornado

<ul>
 <li>The “dual-use” aspect of cryptographic technologies is highlighted in the report.</li>
 <li>Six members of the European Union’s Innovation Hub for Internal Security collaborated.</li>
</ul>
Cryptocurrency mixing protocols and privacy coins are encountering resistance from European lawmakers. Members of the European Union Innovation Hub—an initiative that brings together representatives from EU agencies and member states—have released their first report on encryption. The “dual-use” aspect of cryptographic technologies is highlighted in the report.
The report backed the use of public-private cryptography for cryptocurrency and <a href="https://thenewscrypto.com/bitcoin-nfts-record-4b-in-all-time-sales-volume-amid-market-slump/" target="_blank" rel="noopener noreferrer nofollow">NFT</a> storage, mining, and transactions. But there are criminals that use the system—more especially privacy coins and protocols—to “obscure” their identities on the <a href="https://www.investopedia.com/terms/b/blockchain.asp" target="_blank" rel="noopener noreferrer nofollow">blockchain</a> and elude authorities.
<h3 class="wp-block-heading" id="h-complicating-tracing">Complicating Tracing</h3>
Moreover, for their role in facilitating money laundering, the EU Innovation Hub singled out many digital assets, including <a href="https://www.getmonero.org/" target="_blank" rel="noopener noreferrer nofollow">Monero</a>, Zcash, Grin, and Dash; layer-2 projects; zero-knowledge proofs; crypto mixing services; and non-compliant crypto exchanges.
The report stated:
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">
 “Mixers and privacy coins have been complicating tracing for years, but Mimblewimble and zero-knowledge proofs are relatively new developments that can also obscure the visibility of cryptocurrency addresses, balances and transactions.”
</blockquote>
In order to prevent their funds from being traced, crypto hackers and fraudsters sometimes use services like Tornado Cash to siphon off stolen monies. Six members of the European Union’s Innovation Hub for Internal Security collaborated to write the report.
Furthermore, the May conviction of cryptocurrency mixing protocol <a href="https://thenewscrypto.com/dormant-hacker-moves-48m-from-orbit-chain-exploit-to-tornado-cash/" target="_blank" rel="noopener noreferrer nofollow">Tornado Cash</a> creator Alexey Pertsev on charges of money laundering has serious ramifications for anyone who works on open-source software.
Despite Tornado Cash not being a custodial crypto mixing protocol—meaning it never holds or controls the monies transmitted via it—the punishment nevertheless went through. Similarly, authorities worldwide have banned several privacy coins and protocols in order to curb money laundering and frauds.
Highlighted Crypto News Today:
<a href="https://thenewscrypto.com/are-traders-bearish-on-bitcoin-amid-the-current-market-collapse/" target="_blank" rel="noopener noreferrer nofollow">Are Traders Bearish on Bitcoin Amid the Current Market Collapse?</a>

EU Innovation Hub Targets Privacy Coins and Crypto Mixers

Table of Contents

TheNewsCrypto

Other articles published on Jun 11, 2024

Matter Labs Prepares ZK Token Airdrop

Tether Holdings to Invest Over $1 Billion in Deals

Fetch.ai Price Prediction: FET Dives 24% In A Week As Investors Flock To This Dog-Themed Rival An...

FTX and Alameda Conduct Significant XRP Transactions

Cryptocurrencies To Buy For $1,000 This Week

Binance Labs Invests In AI zk Rollup Zircuit: Here’s Everything

Join our free newsletter for daily crypto updates!