The Internal Revenue Service oversees a range of financial transactions in the United States of America. In recent reports, the Internal Revenue Service, or IRS, said that over the last fiscal year, it seized $3.5 million dollars in cryptocurrency. The figure becomes more shocking when compared with the total confiscations of the IRS. According to the IRS, the $3.5 million in crypto amounts to 93% of the total amount seized by the IRS over the same period.
Financial crimes remain a top concern for authorities around the world. Cryptocurrencies are used extensively for criminal activities, including ransomware attacks and money laundering. In the past, there have been multiple cases of cryptocurrency-related financial crimes in different parts of the world. On top of that, privacy-focused cryptocurrencies make it easier than ever for cybercriminals to hide their identity. It also becomes more difficult to track, trace, and identify.
Adding to the current report, the IRS says that it expects to seize even more in the 2022 fiscal year. New regulations in the United States will make it easier for the IRS to attack and trace suspicious transactions. However, the challenge remains due to the anonymity of cryptocurrency users. The worst that can come out of this might be an extreme regulation or a total ban on cryptocurrency. However, that does not seem likely given the support of entrepreneurs and pro-crypto senators. Financial crimes, nonetheless, remain an unsolved issue.