Could Bitcoin be the future way for Narcos to Hide Money?

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Could Bitcoin be the future way for Narcos to Hide Money?

Mica
Mica - Found this today and thought I would share.

Details on the details can be found here US Marshals to Hold Bitcoin Auction

Approximately 3,813 bitcoins from a number of cases to be sold

WASHINGTON – The U.S. Marshals are auctioning approximately 3,813 bitcoins in
connection with various federal criminal, civil and administrative cases.
To register, potential bidders must complete all registration requirements by noon EST
Jan. 19. A $200,000 deposit is required to participate. Deposits will be returned to nonwinning
bidders.

The auction will take place during a six-hour period Jan. 22 from 9:30 a.m. until
3:30 p.m. EST. Bids will be accepted by email from preregistered bidders only. The 3,813
bitcoins are offered for sale in 11 blocks: five blocks of 500 bitcoins, five blocks of 100 bitcoins
and one block of approximately 813 bitcoins.

The winning bidder will be notified Jan. 22. Further details on the auction are available at
www.usmarshals.gov/assets/2018/bitcoinauction
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Tacuache
Don't know if you guys remember, but the dark web website black sheep and silkroad (among others) used to take bitcoin.  
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Kye0001
Bitcoins quite a popular way of paying for internet drugs orders here in the UK.  Many are using it to order on the dark web and seem to be getting away with it.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Mica
Most online gambling sites only accept bitcoin now.  I am sure it's already being used to wash money.  Governments are starting to come down hard because it's also been a proven way for a terrorist to move money.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Siskiyou_Kid
In reply to this post by Mica
The intrinsic value in bitcoin and other cryptocurrencies is the ability to conduct financial transactions surreptitiously.

As government agencies develop skills to track the blockchain code that records every bitcoin transaction, this value is diminished. We've already seen this with the take down of Silk Road, and it is likely that much smaller transactions will attract authorities as time goes on.

http://www.sciencemag.org/news/2016/03/why-criminals-cant-hide-behind-bitcoin
Those that say, don't know. Those that know, don't say.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Mica
Thanks for sharing @Kid, that was a good read.  I know this might have stretched the forum topic limit, but I was shocked to see the recovery and auction of the currency.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Chivis
Administrator
silk road

http://www.borderlandbeat.com/2013/10/end-of-silk-road-simple-errors-tripped.html
 
The way I see it.... the more people that don't like me, the less people I have to please
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Tacuache
This post was updated on .
In reply to this post by Mica
@Mica I think this directly related to cartel activity.  I would eat my hat if cartels haven't already tried to launder money through crypto currencies.  It seems like the path of least of least resistance.  Coincidentally there is now a bitcoin atm by where I live.  I must live near a drug hub.  Lol.

@Kid that was a really good article.  I know specifically it went into the details of some cases like Silk Road, but does that same level of cooperation go for some of the other newer crypto currencies I wonder.  You throw that and shell companies in the mix and it seems like it would be a crazy web to untangle.  
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Mica
In reply to this post by Chivis
Great read Chivis, thank you!
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

stevectpa
There's hundreds of cryptocurrencies in addition to Bitcoin now.  This is a table of the most popular.  Based on current prices, those 3,800 Bitcoins would be valued at about USD $45 million....a month ago would have been closer to $90 million but decreased in last 30 days:

https://finance.yahoo.com/cryptocurrencies/

Makes it much easier to transact and difficult to trace.
J
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

J
In reply to this post by Mica
When you have banks, businesses, political complicity, there is no need.  If we are talking heavy DTO players in Mexico/South America.

More white/euro, affluent guys like that wierdo with the beard, HSI grabbed in Miami, will use Bitcoin, other cryptos.  

LOL @ trying to explain to someone whose money you were supposed to launder you put in into crypto.  You will end up in a sealed barrel.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

Kye0001
In reply to this post by Tacuache
I've just found this map of where the bitcoin tellers and atms are in various countries, I'm not sure how accurate this is or if it just represents one company who sells them but its interesting reading.  

https://coinatmradar.com/country/138/bitcoin-atm-mexico/

It shows how easily it would be to launder the money and also which countries are making it easier to do so.  This says you have 12 ATM/tellers in mexico and we've got 76 in London alone.  My son says a lot of the instagram dealers say bitcoin only or can use bitcoin on their posts.  He's got friends who use it.
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Re: Could Bitcoin be the future way for Narcos to Hide Money?

mmd604
In reply to this post by Mica
Bitcoin is great for moving money around the world and its very easy to wash.  Theres washing services on the darknet that charge a small fee and wash your coin.