Catch 22 of the Law Enforcement of Cryptocurrency Hacking

A few days ago, I discussed cryptocurrency with an acquaintance of our local Starbucks, and he told me that he was working with several entrepreneurs who were formerly IT security academic experts. Of course, for cryptocurrency, this is all about the secure transmission of data and trust in the intrinsic value of these 1 and 0 or Q bits. Perhaps, I can look at their business plan. Although these digital currencies have encountered some bumps on the road to the future, I believe that this will become the norm in the future-this is the direction of the world.

Does this mean that we will have distributed energy on the smart grid, or distributed information such as the Internet? Well, humans usually do effective things, and centralized and distributed redundancy strategies are good and bad.

So, what is the latest situation you asked? Well, less than an hour after that meeting, I read two articles because I was browsing the information, and I saved it before and write on this topic later; It’s not very useful-Bitcoin itself may fail as a currency, But the underlying technology is beginning to come up with valuable new applications,” author Paul Ford (February 18, 2014). Please note that this article was written a few days before the Bitcoin stolen top exchange.

Another article is Naette Byrnes’s “Hot Bitcoin-A major Bitcoin exchange closed, raising doubts about online currencies” written by Naette Byrnes the day after these findings were posted on the news line on February 25, 2014. . Are you surprised? No, neither do I.

The second article went on to say; “Tokyo-based Mt. Gox was once one of the largest Bitcoin online currency exchanges. Due to rumors that the company may have stolen millions of dollars, and people are increasingly worried about this. The long-term prospects of an unregulated digital currency, so it ceased operations on Tuesday. Other Bitcoin “exchanges quickly distanced themselves from Mt. Gox and claimed that they were still open.” By mid-afternoon, the value of the currency itself fell sharply to just over $500. It hit an all-time high of $1,100 in November. “

What are your thoughts on that? Ouch. Does this prove that opponents are correct in calling it a Ponzi scheme? Will they have the last laugh, or is this just an expected destructive evolutionary process because all the problems are solved? Well, think about this thought experiment of mine.

Suppose that a handkerchief is involved. Suppose someone has hacked into the system or stolen digital currency. Now, digital currency is flying under the radar because it is not recognized even under all the new “too big to fail” regulations such as banks. How does digital currency have value? It is hard to say how a piece of finely printed paper marked with $20 is worth money, it is not, but if we all agree on this and have confidence in the currency, it is worth what it represents. What is the difference, is this a trust issue?

Well, let’s assume that the regulator, the FBI, or other government agencies intervene and file charges-if they file criminal charges that someone cheated others, how much fraud is involved? If the government law enforcement and judicial departments add a dollar amount to it, they inadvertently agree that the digital currency is real and it has value, so they recognize it. If they do not participate, then any fraud that may or may not occur will regress the whole concept, and the media will continue to reduce their trust in all digital or encrypted currencies.

Therefore, for the government, regulatory agencies and law enforcement personnel, this is a 22nd rule, and they can no longer take another look or deny this trend. It’s time to make the rules. Well, I personally hate regulation, but this is not how it usually starts. Once regulated, the credibility of the concept will be given, but his digital currency concept may also undermine the entire world currency strategy and even the U.S. dollar (petro-dollar) paradigm, and may also pay a heavy price for it. Can the global economy cope with this level of destruction? Please stay tuned, I think we will see.

At the same time, what happens next will determine how we view currency value, wealth, online transactions, and how the real world will fit into this new change in our future obscure reality. I just don’t see many people thinking here, but everyone should, a mistake, we may all be in a wounded world-all mankind. Please consider all this and think about it.