Bitcoin (BTC) upholds anonymity, especially in transactions, and is uncontrolled and apolitical money. Therefore, some people believe that it is only useful to scammers; who want to evade regulations imposed on the world’s financial systems and society when using fiat currencies.
These Bitcoin critics have a point since bitcoin can be quite useful for criminals, much like physical cash. However, the permissionless nature of bitcoin also enables other valuable use cases of this digital currency technology. Therefore, bitcoin is a tool, a virtual currency usable by both good and bad people.
FinCEN Shows Money Launderers Use Banks More Frequently
On 21st September 2020, the FinCEN files disclosed $2.1 trillion worth of suspicious transactions performed between 1999 and 2017 by banks. An analysis of the FinCEN files put five banks, each with an international reach, in the spotlight on money laundering. All the indicators point out that bitcoin is suffering for the sins of others.
FinCEN investigation revealed that Bank of America, Citibank, JPMorgan, Chase, America express, and others; adding to their involvement in the transactions of millions of dollars to the family of Viktor Khrapunov. Viktor is a former Soviet official wanted by Interpol. Furthermore, it states the higher levels of illicit activities in banks than in bitcoin and other cryptos.
The British Bank, Standard Chartered, on the other hand, transferred money in the name of Al Zarooni exchange company based in Dubai. The company later faced accusations of laundering money for the Taliban.
Additionally, one of the Russian president’s closest associates, Vladimir Putin, apparently used Barclays bank in London to evade sanctions preventing him from utilizing financial services in the West. Some of this money bought works of art.
Also, JPMorgan allowed one company to transfer over $ 1 billion to an account in London, without even knowing its owner. The bank later understood that the company belonged to a mafioso on the FBI’s ten most wanted fugitives list.
Despite warnings about a local company enabling Iran to avoid sanctions, the Central Bank of UAE was never cautious. On the other hand, Deutsche transferred a large amount of illegal money from money launderers to terrorists and drug dealers.
This particular FinCEN file is one of the many money scandals among the world’s widely known banks. We are left wondering is these big international banks feel a sense of impunity. It seems that colossal fines imposed since 2008 still do not act as a deterrent.
Chainalysis Report Show Exponential Growth in Bitcoin and Crypto Adoption
In September 2020, Chainalysis published in its Global Cryptocurrency Adoption Index, reporting exponential growth in crypto adoption. According to the report, Ukraine, Russia, and Venezuela are the top leading countries in crypto adoption.
The US and China are still delivering the most massive transaction volumes with the highest number of crypto holders. However, Ukraine, Russia, and Venezuela have the most active digital currencies users; China and Kenya follow them.
The enormous acceptance of cryptocurrency adoption globally contradicts the Bitcoin critics’ opinion that Bitcoin is for scammers. Many countries are using blockchain technology and BTC for many critical use cases. Therefore, a lot of publications online give false information to vilify Bitcoin. Besides, all the articles spreading rumors about the coin are vague. These bitcoin critics should accept the change in the financial systems. The change is bitcoin, other digital assets, and the blockchain technology at large.