What is asset tracing for cryptocurrencies?

Asset tracing for cryptocurrencies examines the full life cycle of a cryptocurrency account. Investigators may use software tools and traditional forensic methods to search, review and analyze the origination and transaction activity of digital wallets and cryptocurrencies across their history.

What are the benefits of cryptocurrencies for fraud-related investigations?

Investigations involving digital currencies, or cryptocurrencies, have become more prominent. Every transaction involving cryptocurrency is preserved on the blockchain and is immutable (i.e., it cannot be changed), which helps, rather than hinders, fraud-related investigations.

Can 'fingerprints' be used to identify illicit cryptocurrencies?

Gleaning "fingerprints" from bank statements, tax returns, or electronic devices can be key to deducing the illicit ownership of cross-border, opaque cryptocurrencies such as bitcoin, those who track such activity said.

What do investigators look for in a cryptocurrency scam?

Bank and credit card statements are often the first stop for investigators. These may show a suspect has bought virtual currencies through an online exchange such as Coinbase, where popular currencies such as bitcoin and ether (the token of the Ethereum blockchain system) are traded.