RANE Spotlight Report: Cryptocurrency Transactions Not As Untraceable As Commonly Thought

Cryptocurrency Risks Are Most Volatile in Asia Due to Popularity

NEW YORK, Aug. 01, 2018 (GLOBE NEWSWIRE) -- RANE (Risk Assistance Network + Exchange) announced today that it has published a RANE Spotlight Report titled “Cryptocurrency Compliance and Regulatory Risk” now available for download.

Highlights of the report include:

  • The percentage of bitcoin heading into dark web transactions is declining, yet that comes from the boom in cryptocurrency among financial speculators, rather than a decline in criminal activity.
  • With blockchain transactions, real-world identities can be determined at the points where individuals convert digital currency into fiat currency. The knowledge that bitcoin is traceable provides some level of deterrence for bad actors.
  • Blockchain analysis can determine a digital wallet’s proximity to known entities tied to illicit transactions, further shedding light on whether an individual is operating as a mule or a front.
  • An overwhelming majority of cryptocurrencies is used for investment and speculation rather than transactions. Volatility is inherent in digital assets that aren’t pegged to any fiat currency.
  • It is a mistake to think there is no visibility into the cryptocurrency world. The more you transact in this area, the more visibility you have.
  • One of the most pressing issues for banks in the cryptocurrency space will be failing to ramp up compliance processes fast enough.
  • Regulation risk appears to be most volatile in Asia, with officials in Japan and South Korea struggling to deal with cryptocurrencies’ popularity boom.

The RANE Spotlight Report is based on a roundtable discussion of cryptocurrency experts in the RANE Network. The full report is downloadable as a PDF and is complimentary with registration at https://go.ranenetwork.com/spotlightreport.

About RANE

RANE (Risk Assistance Network + Exchange) is an information and advisory services company that connects business leaders to critical risk insights and expertise, enabling risk professionals to make more informed decisions and more efficiently manage complex risk. RANE provides access to, collaboration with, and unique insights from a global network of credentialed risk experts. Through curated network intelligence, risk news monitoring, in-house analysts and subject matter experts, and collaborative knowledge-sharing events, RANE helps subscribers get the information and expertise they need to address their most pressing risk challenges. RANE has offices in New York, NY, Boston, MA, and Washington, DC. Learn more at www.ranenetwork.com.

Tim Allik