Governments Are Watching Our Coins

Endy Callahan

Many may think that this is an unbelievable story or a myth. However, it appears that government surveillance is a real thing, although thousands of crypto traders still believe that no one is watching their coins. Authorities in many countries keep an eye on people’s money transactions and know almost everything users do in the crypto market. Even if the crypto industry can be regarded as a safe and secure arena, controlling people’s operations and watching even their wallets is what the government intends to do.

Traders attack exchanges and blame them for selling services related to crypto surveillance. As we see, fishing is typical not only of scammers, fraudsters, and other criminals. Now the same is being done by the U.S. government and various organizations helping law enforcement identify drug dealers and people laundering money.

Coinbase has become one of such exchanges. However, its official representatives claim that their team does not share private data with the police or authorities. They assure that all information is publicly available.

Authorities Are Watching Us Already

Big brother has been around for quite a long time and surveillance started almost ten years ago. More than that, the government has been finding more ways to control the population. The spectrum of tools and instruments law enforcement uses stuns. Several entities have developed a great interest in active monitoring. They apply their approaches to many spheres and now they have started doing it in the crypto community.

Police officers and other law enforcement services utilize many crypto surveillance tactics and they have been doing it for over a decade. These sorts of practices are gaining popularity. At the same time, some claim that all these measures are necessary to protect users and make the crypto environment safe and secure. People working for crypto exchanges do not deny the fact that their bosses do not mind engaging in surveillance practices and even if they did mind, they would have no choice anyway.

Suspicious activities must be reported and that’s what exchanges do when they see something strange going on. Transactions have to meet special requirements. The government sets criteria for such services and those who deal with exchanges know that authorities do all possible to control all businesses focusing on money transmission.

Exchanges report on suspicious transactions over five thousand USD and they do not pay attention to the individual’s other activities. In some cases, exchanges file for smaller transactions, too. The exchange will never admit having reported a person to the police. The reason why is simple – they would then lose users’ trust and, which is more important, they would lose their licensing that allows the exchange to operate. They would also have to pay fines or go to jail.

What Bothers Them

Users wish to know who those people are. They also need to see what sort of information those officials want to receive. The major agencies that keep track of the crypto market include the FBI. The list includes the IRS and FinCEN as well as many other law enforcement departments. You are wrong if you think that only the U.S. government does it.

Actually, authorities in Russian, China, and many other countries monitor the crypto community. All those agencies are trying to find out what sort of coins you own and how you use them. They know the initial sources people use to purchase crypto. Your profit does not go unnoticed, either.