Bitcoin could soon lose its value as a payment tool for cybercriminals.

Bitcoin could soon lose its value as a payment tool for cybercriminals

The new rules and regulations around cryptocurrency transactions are making Bitcoin less appealing as a payment gateway for criminals. As per a new report by the Kaspersky cybersecurity firm, BTC payments used in ransomware negotiations and payments reportedly rose above $600 million (roughly Rs. 13,330 crore) in 2021. In fact, BTC was demanded as a ransom in some of the biggest heists, such as the Colonial Pipeline attack.

As time goes on and more sanctions are issued, stricter regulations will come into place. As emerging technologies get better at tracking the flow of Bitcoin, cybercriminals will move away from using this cryptocurrency in favor of other forms of value transfer.

Lately, crypto scams have been on the rise. Along with the increase in digital assets, scammers have launched crypto-related schemes that are much harder to see through or avoid.

Recent data from Chainalysis shows that October has been the worst month for crypto-related crimes so far this year. The crypto sector lost about $718 million (roughs Rs. 5,890 crore) to crimes like these.

One recent report has claimed that Americans crypto investors lost over $1 billion total to scammers.

The number of cyberattacks has increased this year, such as wallet intrusions and phishing attacks. Cryptojacking is becoming more popular as well, where a hacker will inject malware into your system to steal or mine digital assets.

The misuse of cryptocurrency in the illegal laundering of money has been a matter of concern for India and other countries for some time now.

The Financial Action Task Force has named a top priority the adoption of global anti-money laundering rules for cryptos. The Paris-based watchdog has left countries with a choice; align with its anti-money laundering (AML) regulations or face getting “grey listed”.

Some law enforcement agencies believe that bitcoin and other cryptocurrencies are not likely to be used for criminal transactions with laws around the sector tightening up. Scammers still swarm to the crypto sector, however, so there is still work to be done.

Cyber criminals are likely to continue targeting victims through fake initial coin offerings (ICOs) and blockchain-based smart contracts, according to a report from Kaspersky.

However, it’s inevitable that an increasing number of people will become wary and avoid certain scams or risky behaviors. This is a result of the growing awareness against potential scams – and this could affect business owners in the long-term.

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