US Financial Regulator Warns Against Strict Cryptocurrency Rules
Cryptocurrencies are prevalent in South Africa and gaining traction as an option on line currency. This short article, hence, illustrates the use of cryptocurrency in the facilitation of criminal activity through the overview of current literature. Lastly, an exposition of the crimes is presented in order to demonstrate how cryptocurrencies can be employed as a tool and target in the facilitation of cybercrime. Concomitantly, cryptocurrencies are also establishing themselves as an ideal currency for cybercriminals due to their unregulated and pseudo-anonymous nature. Cryptocurrencies can be used either as a tool or target in the facilitation of cybercrimes, which includes cyber income laundering, cyber extortion, phishing, hacking, cyber fraud and other monetary crimes such as Ponzi and investment scams. Given the extremely technical, decentralised and hence complex nature of cryptocurrencies, it is critical for criminologists to have a fundamental understanding of the modus operandi utilised in ‘cryptocurrency crime’. This report begins with a short discussion on the history of cryptocurrencies. The technical underpinnings of a cryptocurrency are thereafter explained in order to contextualise their use in the facilitation of cybercrime.
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