Danes find criminals with help of bitcoin

Since its introduction in 2009, bitcoin has always been described as a currency that could be best suitable for criminals and different types of illegal transfers. Well, at least, until now. Apparently, Danish police is arresting drug traffickers based on the bitcoin transactions they make. Berlingske reported that bitcoin transactions traced by the police in Denmark city Herning represented a crucial evidence in court and led to a conviction of a defendant in narcotic case to eight years of prison. This is actually the second time that bitcoin transactions traced by the police had a significant role at a trial in Denmark.

This way, Denmark has taken a leading role in cyberpolicing, according to head of the country’s National Cybercrime Center Kim Aarenstrup.  “We are pretty much unique in the world at this point, because there are not others who have managed to use these tracks as evidence. Everyone looks towards Denmark in this field, and we are in close dialogue with a number of other countries right now, so we can further develop methods and teach them how we do it here,” Aarenstrup said.

Danish law enforcement agencies developed the new IT-system that analyzes different bitcoin transactions and identifies people who are connected in specific deals. Europol and FBI have also started using it.

“All transfers that have ever took place are encoded into the bitcoin system. So you can always go in and look up in the system and then try to find out who made them among the various users,” Aarenstrup added.

The importance in this step forward lies in the fact that bitcoin has become very frequently used in criminal circles, providing offenders with a platform for untraceable financial transactions.  However, the new technique deployed by the Danish police destroyed the criminals’ delusion the cryptocurrency market provides a safe haven for illegal money transfers.


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