Chainalysis has released a preview of its 2024 State of Cryptocurrency Investigations Report, offering a detailed look at how public sector employees around the world perceive blockchain technology and its ability to investigate cryptoasset activities. The report is based on responses from more than 800 public sector employees.
Growing adoption and emerging challenges
In 2024, cryptocurrency adoption will continue to increase globally, allowing millions of people to transact without intermediaries and take greater control of their finances. However, this growth comes with challenges, as criminals increasingly exploit cryptocurrencies for illicit activities. These range from cybercrimes such as ransomware and darknet markets to traditional crimes such as intellectual property theft and drug trafficking.
Consequently, the public sector, including law enforcement, regulatory and military agencies, faces the critical task of ensuring that the benefits of cryptocurrencies are harnessed while their misuse is minimized.
Survey Findings
The 2024 State of Cryptocurrency Investigations Report sheds light on several key findings:
- Law enforcement officials acknowledge the relevance of cryptocurrencies in many investigations, but generally have positive opinions about their overall impact.
- Respondents in Latin America and the EMEA region are the most optimistic about the future role of cryptocurrencies in financial markets, while those in the APAC region have more negative perceptions.
- There is an expectation that cryptocurrencies will be involved in a wider range of criminal activities over the next five years.
- Investigations into cryptocurrency-related crimes tend to take longer than other types of investigations. However, blockchain analysis tools like those developed by Chainalysis are essential for gathering evidence.
- About half of respondents expressed dissatisfaction with the staff and technical resources available to address cryptocurrency-related crimes.
Implications for the public sector
The report highlights the importance of equipping public sector entities with the tools and resources necessary to address the complexities of cryptocurrency investigations. Effective blockchain analytics solutions are crucial for regulatory and law enforcement agencies to keep pace with the changing landscape of cryptocurrency-related crimes.
For a comprehensive understanding of the current public sector stance on cryptocurrencies and detailed survey results, the full report can be accessed at Chainalysis website.
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