Topic: [2016-08-24] US Nuclear Research Lab Developing Bitcoin Analysis Tool (Read 270 times)

Are you serious? The fact that Bitcoin is used by criminals as well has nothing to do with Bitcoin being evil. All kinds of money are used by criminals. The negative "image of Bitcoin" you like to see redeemed is painted by the mainstream media corporations that are controlled by government and financial institutions.

Painting Bitcoin in a negative light is just a pretext to try to exert control over it. Banks and governments are afraid to loose their wealth and power when people can independently manage their finances. They are desperate to prevent this and will use all dirty tricks to avoid this outcome.

Implementing surveillance methods for Bitcoin is the first step in an effort to eliminate fungibility by blacklisting coins and prosecuting users. We need privacy improvements for Bitcoin as soon as possible. I think only with fully anonymous transactions Bitcoin will be able to survive in its current form as a free, decentralized currency. Of course, government bootlickers and dumb people will try to prevent this outcome by inducing discord within the Bitcoin community.

ya.ya.yo!

It's about time they looked into what can be done to redeem the image of bitcoins as a currency used for criminal activities.

A federally funded research lab run by Lockheed Martin is developing a bitcoin analytics tool for the US Department of Homeland Security (DHS).

The project, first detailed in a 19th August newsletter published by Sandia National Laboratories, marks a continuation of previously detailed efforts at the DHS. The project is being funded by the DHS Science and Technology Directorate, which late last year issued a call for blockchain research.

Thus far, the bitcoin project appears to be in the early stages – Sandia has reportedly created a set of "requirements" for an analysis tool and is moving to develop a user interface to enable additional tests.

Andrew Cox, an R&D analyst for Sandia, said during an interview published in the newsletter that the tool would be best utilized as part of a broader investigatory effort involving multiple angles.

He remarked:

"To be successful, the reality is it’s going to take different types of algorithms and additional types of investigative techniques including good old-fashioned police work. They’re all going to have to be combined."

He went on to argue that such tools would actually encourage broader bitcoin adoption

"In many ways, figuring out how to effectively combat illicit bitcoin commerce and reduce its perception as a tool of criminals can encourage more people and companies to adopt bitcoin for legitimate purposes," he said.

Founded in the late 1940s, Sandia's traces its lineage back to the Manhattan project and the invention of the atomic bomb. Today, its primary focus is developing technology for nuclear weapons, though the laboratory also works on broader defense and energy projects under the purview of the National Nuclear Security Administration (NNSA).

Though still in development, the tools are similar to those already available to the market today.

Startups like Chainalysis, Skry and Elliptic have all moved to capitalize on demand from law enforcement for blockchain forensics tools – much to the chagrin of privacy advocates in the bitcoin space. The rise of ransomware has further fueled interest in these capabilities.

coindesk