Europol’s New Task Force: A Bright Future for Digital Currency and Anti-Money Laundering Efforts

Europol Takes a Stand Against Digital Currency Misuse

On September 9, 2016, Europol announced an audacious initiative that would make waves across the cryptocurrency space: the formation of a Bitcoin money laundering division. Teaming up with INTERPOL and the Basel Institute on Governance, this working group aims to tackle money laundering using digital currencies. And while some Bitcoin enthusiasts may be shaking in their virtual boots at the thought of increased oversight, experts argue otherwise.

The Terms in View

So what exactly is the mission of this newly formed group? According to the announcement, it focuses on three core objectives:

• Gathering and analyzing non-operational information regarding digital currencies linked to money laundering activities.
• Organizing workshops and meetings to enhance the competencies of law enforcement in investigating crimes involving virtual currencies.
• Building a network of experts to share best practices and recommendations pertinent to the field.

Why Experts Aren’t Panicking

Jonathan Chester, a member working with the European Parliament on Bitcoin and Blockchain issues, suggests that this initiative isn’t about pointing fingers at cryptocurrency users. In fact, he believes the two main aims of lawmakers involve:

1. Combating money laundering, particularly in the context of terrorism.
2. Protecting consumers operating within this innovative financial framework.

Essentially, this task force is about achieving a balance — ensuring laws are enforced without stifling the growth of the cryptocurrency industry.

A New Hope for the Industry

Chester further elaborates that the group’s establishment is vital for understanding how digital currencies might be misused. It enables a definitive study into whether cryptocurrencies are indeed being leveraged for nefarious purposes. Should evidence suggest otherwise, it could ease the pressure startups face when dealing with traditional banking systems. Think of it like a wellness check for cryptocurrency — an opportunity to show it’s not a financial threat but rather a progressive tool for transactions.

Consumer Protection on the Horizon

George Basiladze, founder of Cryptopay, also sees silver linings in this initiative. His perspective? The Bitcoin ecosystem stands to gain significantly. By instituting safeguards against criminal activity, consumers will find themselves better protected than ever before. He proclaims, “Nothing really bad will happen. For consumers this will mean better protection against criminals, and the same goes for businesses.”

The Road Ahead

Even if there are bumps along the way, like a crypto enthusiast bumping into a virtual wall during a tradeshow, the Bitcoin network remains intact. Scholars and consumers alike can continue engaging freely, using their Bitcoins without the fear of disruption. And amidst all the debates about money laundering, it’s comforting to know that this push will ultimately strive to promote transparency, not hindrance.