Smart Contracts and Bitcoin: The Ideal System for Criminals

I dont know why it loads this follow on feedly image, but this is interesting to know ;)

Smart Contracts: Ideal for Criminals?

Smart Contracts are the next big thing in cyber business. And they are a dream come true for criminals: encrypted, secret, untraceable.

2 Responses

It doesn't go much technical about what are those 'smart contracts'. I will google more tomorrow, seems interesting cause I was in btc business a couple years ago.

Bitcoins offer indeed great advantage in money transactions, but you always end up having to trust a third party, sooner or later. May it be an exchange (like gox or mintpal, if you remember) or an escrow. Cashing out is also a big problem. So don't be fooled when trillion dollars in btc are stolen, they won't go anywhere without leaving a clear trace.

Yes, they are encrypted in the sense they can't be 'copied', but transaction ledger is public (it's the blockchain itself), they are neither secret, nor untraciable. They seem a good way to make dirty business, when in reality it's all good as long as you value them as 'bitcoin' only, not real money. All people that tried cashing out or buying expensive houses or cars, went in big troubles.

But they are always a good stunt for a newspaper headline.

Well its not new that there are ways of payment that are hard to controll. Thats also why States try to reduce the use of real Money and more and more supports the electronic cash because you are able to see from where the money comes and where exactly it flows. The big advantage on systems like bitcoin is that you are able to stay anonymous and in addition you are not forced to be on a trade in person.

But tbh its always the same stuff, the media noticed something new and now its the big dangerous new stuff from out of space that could change the world. netscape did XD

-Kitsune The Fox

Share Your Thoughts