The U.S. Department of Justice (DOJ) has called for greater international cooperation and information sharing on cryptocrime to protect investors, businesses, and consumers using digital assets. report.
According to the report, the Department of Justice stated that international cooperation would help prevent “duplicative efforts that waste investigative resources.”
The Justice Department worked with other regulators, such as the Securities and Exchange Commission (SEC), the Department of Homeland Security, and other federal agencies, to produce the report.
The report says that prosecuting crimes committed using cryptocurrencies is more difficult than using fiat money due to the anonymity provided by these assets.
Part of the report reads:
Criminals (can) use the innovations, decentralization claims, and anonymous features of cryptocurrencies to facilitate criminal behavior in every corner of the world.
As such, the US needs to work with other countries to ensure effective regulation and oversight of the industry, as a lack of compliance measures could put the US at risk for criminals as well as jeopardize the international financial system.
Some problems facing international cooperation
The 58-page document notes that the willingness and ability of foreign law enforcement agencies to work with the U.S. on digital asset crime will depend on their regulations and jurisdictions.
There are currently differences in how each legal system handles digital assets, which could complicate any collaborative effort between the US and its foreign partners.
Apart from this, he also identified the limited technological and technical experience in many countries as a limitation.
However, the report states that US law enforcement is trying to address these issues by developing and sharing expertise with partners, as well as by participating in global standards-setting efforts and the work of other agencies.
The report offers recommendations for strengthening law enforcement and improving international
cooperation by expanding the capabilities of foreign partners to conduct more complex and specialized investigations, exchange additional information and implement international standards in the field of digital assets.
Crypto provides law enforcement with the opportunity to conduct a proper investigation
While recognizing that many crimes can be easily committed using cryptography, the report also shows that the technology behind the assets enables law enforcement to conduct a proper investigation.
Because crypto transactions are “permanently recorded on distributed ledgers that are publicly available on the Internet,” the authorities can trace funds in ways that are not possible in traditional financial systems, according to the report.
Credit : cryptoslate.com