Dutch populace prosecutors in addition to the taxation inspection agency are ramping upward their struggle against bitcoin money laundering this year.According to query conducted past times Dutch fiscal paper Het Financieel Dagblad (FD), at to the lowest degree 3 criminal cases pertaining to money laundering alongside bitcoin are scheduled for 2017. Additionally, the FIOD — the investigative arm of the Dutch taxation ascendancy — wants to lower the bar for prosecution of unlicensed bitcoin traders. The FIOD volition also seek to convey mixing services recognized equally money-laundering operations.The Challenge of AnonymityBitcoin’s relative anonymity (sometimes referred to equally pseudonymity) in addition to censorship resistance convey made the digital currency a pop agency of commutation on darknet markets similar Alphabay in addition to Silk Road. Interpol believes that to a greater extent than than xl per centum of online transactions for illegal ends is done alongside bitcoin.Darknet marketplace merchants typically create commutation their earned bitcoins for fiat currencies. While trading bitcoin for fiat is inward in addition to of itself non illegal, most exchanges apply strict anti-money laundering (AML) in addition to know your client (KYC) standards. This is unremarkably requested from the fiscal institutions in addition to banks that they locomote with. Darknet merchants, therefore, oft prefer to commutation their bitcoins at what FD refers to equally “bitcoincashers”: exchanges in addition to dealers that create non comply alongside such rules.The FIOD is directly attempting to brand prosecution of these bitcoincashers much easier. The taxation ascendancy wants the Financial Intelligence Unit (FIU) to recognize illegal bitcoin merchandise equally a type of money laundering. That would permit detectives to start an investigation without kickoff needing to seek out reasonable cause. Influenza A virus subtype H5N1 spokesperson for the FIOD told FD that it expects such recognition to endure granted afterwards this year.Additionally, FD reports that the FIOD wants to convey bitcoin mixers recognized equally money laundering indicators equally well, though it’s unclear how far this regulation would reach. It would presumably apply to centralized mixers similar bitmixer.io, which commutation bitcoins for dissimilar bitcoins to interruption the path to whatever item slice of currency. But trustless mixing services, similar those hosting ValueShuffle or TumbleBit servers, may perish a target, too.Pending Cases Before the CourtsAt to the lowest degree half dozen bitcoincashers volition look earlier Dutch courts this year, divided over 3 dissimilar cases. The kickoff of these are ii men defendant of drug dealing, money laundering in addition to partaking inward a criminal organization. Public prosecutors suspect these dealings involved nearly $2.6 1 1000 one thousand [€2.4 million] worth of proceeds from illegal activities. The minute instance concerns 4 individuals suspected of running an illegal bitcoin commutation that guaranteed anonymity to its users. The tertiary instance is business office of a larger international investigation on money laundering. Bitcoin Magazine reached out to The FIOD for farther clarification only received no answer at fourth dimension of publication.The post service Dutch Authorities Ramp Up Fight Against Bitcoin Money Laundering appeared kickoff on Bitcoin Magazine.
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