Cryptocurrency Titan Coinbase Providing 'Geo Tracking Data' To ICE (theintercept.com) 17
Coinbase, the largest cryptocurrency exchange in the United States, is selling Immigrations and Customs Enforcement a suite of features used to track and identify cryptocurrency users, according to contract documents shared with The Intercept. From a report: In August 2021, Coinbase sold a single analytics software license to ICE for $29,000, followed by a software purchase potentially worth $1.36 million the next month, but details of exactly what capabilities would be offered to the agency's controversial Homeland Security Investigations division of were unclear. A new contract document obtained by Jack Poulson, director of the watchdog group Tech Inquiry, and shared with The Intercept, shows ICE now has access to a variety of forensic features provided through Coinbase Tracer, the company's intelligence-gathering tool (formerly known as Coinbase Analytics).
Coinbase Tracer allows clients, in both government and the private sector, to trace transactions through the blockchain, a distributed ledger of transactions integral to cryptocurrency use. While blockchain ledgers are typically public, the enormous volume of data stored therein can make following the money from spender to recipient beyond difficult, if not impossible, without the aid of software tools. Coinbase markets Tracer for use in both corporate compliance and law enforcement investigations, touting its ability to "investigate illicit activities including money laundering and terrorist financing" and "connect [cryptocurrency] addresses to real world entities."
Coinbase Tracer allows clients, in both government and the private sector, to trace transactions through the blockchain, a distributed ledger of transactions integral to cryptocurrency use. While blockchain ledgers are typically public, the enormous volume of data stored therein can make following the money from spender to recipient beyond difficult, if not impossible, without the aid of software tools. Coinbase markets Tracer for use in both corporate compliance and law enforcement investigations, touting its ability to "investigate illicit activities including money laundering and terrorist financing" and "connect [cryptocurrency] addresses to real world entities."
Crypto currency will never work at scale (Score:4, Interesting)
Re: (Score:2)
To be 'anonymous' you're expected to never re-use the same wallet. The moment you split your change back into the source address you're doing something wrong on that front.
It's supposed to be decentralized, but you lose that when you replace one bank for another with an exchange.
Every time things start moving again in the ecosystem, transaction fees skyrocket. That's a bigger issue than being user friendly.
You can make it as user friendly as a credit / debit car
Re: (Score:1)
Insurance (Score:2)
Guess it's by IP? (Score:2)
I've used CoinBase to buy crypto, the app has not ever asked for location permissions as far as I have seen - so this must be all geoIP.
Re: (Score:3)
I've used CoinBase to buy crypto, the app has not ever asked for location permissions as far as I have seen - so this must be all geoIP.
They don't need your permission to correlate your trading with the cell tower info they get from other contracted data sharing services.
Re: (Score:1)
They don't need your permission to correlate your trading with the cell tower info
How are they getting cell tower info at all??
If you can't beat them... (Score:2)
Crypto-voodoo money did not beat the man, so join the man?
Why is ICE handling this type of investigation? (Score:2)
I thought it would be a US Treasury/IRS thing for tracking assets including crypto. This seems like an overreach by DHS.
Re: (Score:2)
I thought it would be a US Treasury/IRS thing for tracking assets including crypto. This seems like an overreach by DHS.
The current administration is not friendly to the actual intended goals of ICE. They've been using the department for a few things that are outside their intended scope of work.
Re: (Score:2)
If this crash doesn't kill crypto (Score:1)
That'll suck for anyone who works for a living, because it'll mean having a huge chunk of our economy built on top of funny money. Something that exists to do an end run around
What's the problem? (Score:2)
Hey, crypto fans (Score:2)