LeapZipBlog: Ray Bobo's blog: The Need for Defense Lawyer on Cryptocurrency Fraud

The Need for Defense Lawyer on Cryptocurrency Fraud

January 23, 2020 by Ray Bobo  

The debate around cryptocurrencies and fraud is growing bigger with each passing day. The laws dealing with cryptocurrencies are vagueso much so that many countries have even eliminated them as a legal tender. Cryptocurrencies are novel in their basic nature and defy most of the traditional legal laws. The digital world is drastically changing and so are the ways of investing, saving, producing and consuming. 

Due to the lack of laws governing the cryptocurrencies, there has been a considerable increase in the fraudulent use of cryptocurrencies like Bitcoin and others. Some of the most visible frauds involving cryptocurrencies are money laundering, illegal sale, and purchase of products or services, etc. Cryptocurrencies are a virtual form of money that people can use to carry out online transactions with it. Several IT, gaming and other business sectors are trading in cryptocurrencies. This kind of scope makes it easy for the digitally-informed and inclined people to start fraudulent actions. Since cryptocurrency is a decentralized virtual currency, the user's name stays anonymous making cryptocurrency frauds harder to prove.

Another reason for the increase in frauds using cryptocurrencies is that transactions in cryptocurrencies are really hard to track this is because the transactions herein are recorded in a public distributed ledger called a blockchain. Due to this technology of blockchains the transactions are hard to track. At that situation you can contact cryptocurrency lawyer USA.

The rule of court and law are very harsh about handing out punishments if you are found guilty of the cyber crime. Punishment for the fraud is up to 20 years of jail time. It is hard to find securities fraud attorney that have experience in defending the cryptocurrency frauds. It is ideal to find an money laundering attorney with expertise in handling cryptocurrency crimes and is capable of gathering documents and evidence to support your case.
The explosive growth of the cryptocurrency and lack of proper regulations started making the scenario of decentralized transactions worse. Experts say a bitcoin bubble may pop up in near future. But it will not cause as much damage as caused by the dotcom bubble, which led to a painful market crash in 2000. And this is because the cryptocurrency craze remains tiny as compared to the dotcom bubble.
Cryptocurrency is a relatively new phenomenon that is an output of an evolving digital market but due to not getting the right market space its value has been consistently falling. Had there been proper regulations to govern the world of cryptocurrencies, we may have seen a different picture for the future of cryptocurrencies.