CipherTrace Files Patents For Tech That Can Trace Monero Transactions

In the letter

  • CipherTrace, a blockchain forensics company, has filed patent applications to decrypt Monero (XMR), a privacy coin.
  • CipherTrace is selling these anti-Monero technologies to the US government, which is angry about the volume of illegal trade in Monero and wants it tracked.
  • Monero (XMR) is the 15th largest cryptocurrency with a total market cap of nearly $ 2.17 billion, according to CoinMarketCap. Several major crypto exchanges haven’t listed it.

The cat and mouse game between the Blockchain Forensics Company CipherTrace and data protection coin currency (XMR) continued this week when CipherTrace announced on Friday that it had two patent applications filed for methods of tracking Monero transactions – transactions that are not traceable.

The first patent, “Monero Tracing Techniques and Probabilistic Methods,” laid the foundations for developing probabilistic methods that number Monero transactions and cluster likely owners, and probabilistic approaches to money laundering controls.

These probabilistic approaches and methods are a set of mathematical tools and concepts that deal with probability uncertainties – just like your weather forecast for tomorrow, which has a 15% probability of precipitation.

The company also filed a patent application for systems and methods used to investigate Monero, which are part of its forensic tools used to track Monero transactions. CipherTrace released a toolkit for this in August.

Monero was designed in such a way that it is no longer traceable as the network messes up transactions to hide who sent what to whom. However, CipherTrace’s patents claim that transactions are fully traceable.

However, the patents were not approved.

CipherTrace is selling these anti-Monero technologies to the US Department of Homeland Security under a $ 5 million contract, according to reports GovTribe. This equates to 69% of all the company’s contract awards, valued at $ 7.4 million.

The Internal Revenue Services (IRS) too received an order for USD 625,000 to the competitor Chainalysis to crack Monero.

CipherTrace described Monero as “the second most popular cryptocurrency of choice among criminals, just behind Bitcoin”. According to the company, Monero supports 45% of darknet market transactions.

currency (XMR) is the 15th largest cryptocurrency with a total market cap of nearly $ 2.17 billion, according to CoinMarketCap.

Some crypto exchanges, such as B. Coinbase, don’t list Monero because Regulators don’t like it. And earlier this month ShapeShift has delisted the coin.

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