Last month, an event was held in Vienna where Europol, UNODC, and the Basel Institute on Governance joined to discuss criminal activity in the crypto sector. In brief, the group sees crypto-crime as becoming more sophisticated.
Burkhard Mühl, Head of Europol’s European Financial and Economic Crime Centre (EFECC), says the misuse of crypto for nefarious activities is becoming more effective, complex, and organized.
“Investigating these crimes places a significant burden on the law enforcement agencies of EU Member States. Europol will therefore continue to invest in innovation, technology, and cooperation with private partners, to fulfil its mandate of supporting Member States in complex and international investigations.”
To counter the risk of this type of criminal activity, law enforcement and other partners are seeking to improve their abilities to detect, dismantle, and arrest the crooks. But unfortunately, gaps are said to remain.
Like other digital transactions, moving crypto is borderless, taking place in seconds. Meanwhile, it can take the authorities days or weeks to respond.
Ned Conway, Executive Secretary of the Wolfsberg Group, says that as DeFi and TradFi merge, better channels for information sharing will improve efforts to counter and disrupt illicit activity.
“By developing clear standards, enhancing cooperation and building capacity, we can collectively ensure financial innovations are harnessed for the public good while preventing their abuse by criminals,” states Europol.