TECHNOLOGY LAW CORNER Cybercriminals Score Billions in Cryptocurrency Thefts
Summary
Even the largest cryptocurrency exchanges have become vulnerable, as we saw earlier this month, when Binance suffered a loss of 7,000 bitcoin, to the tune of roughly $41 million dollars, thanks to sophisticated hackers. Although it is not a government entity, FINRA is "a not-for-profit organization authorized by Congress to protect Americas investors by making sure the broker-dealer industry operates fairly and honestly." In addition, the Financial Stability Board (FSB), whose members include the U.S., the European Union, and some 20 other countries, has taken steps to address the unique problems posed by cryptocurrencies. In the past two years there has been a sharp increase in cross-border bitcoin payments, up some 46 percent since March 2017, according to a CipherTrace Cryptocurrency Intelligence report. Given the limited controls over cryptocurrencies and the decentralized global market for trading them, the lack of uniform regulations from country-to-country makes it difficult for enforcement agencies to trace the stolen funds.