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UK HMRC Wants To Invest in Crypto Tracking Blockchain Tool

 
UK HMRC Wants To Invest in Crypto Tracking Blockchain Tool
Breaking News / Bitcoin / Blockchain
  • A crypto asset blockchain analysis tool is being looked into by the HM Revenue and Customs.
  • This is a tool that could do well in finding fraudulent indivduals taking more than their share in Bitcoin or other cryptocurrencies.

A crypto asset blockchain analysis tool is being looked into by the HM Revenue and Customs (HMRC) - the tax and customs authority for the United Kingdom. This is a tool that could do well in finding fraudulent indivduals taking more than their share in Bitcoin or other cryptocurrencies.

This comes in response to the continuous increase in cybercriminals taking advantage of cryptocurrency to avoid tax and money laundering. The HMRC is looking at the aforementioned blockchain tool to help in the tracking of transactions and value volatility in some of the biggest cryptocurrencies like Bitcoin and Bitcoin Cash, Ripple, Tether, Litecoin, Ethereum and Ethereum Classic.

Monero, Zcash, and Dash are three privacy coins that the tax authority would ‘ideally’ be able to keep an eye on too.

“Many of these crypto-asset transactions are recorded publicly in a ledger known as a blockchain. Whilst the transactions are typically public, the participants undertaking them are not.”

The payments regulator contract value for the tool was supposed to be around £100,000 according to reports. On the official notice, it says, “Provision of a tool that will support intelligence gathering methods to identify and cluster Crypto-asset transactions into linked transactions and identify those linked to Cryptoasset service providers.”

Following this, the tax revenue service went onto state:

“The successful service provider must have relevant people, suitable assets, and deep experience. Critically, we will be looking for vendors to showcase their capabilities by demonstrating their expertise in the field of crypto-asset tracing.”

It will be interesting to see how this situation plays out. For more news on this and other crypto updates, keep it with CryptoDaily!

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