With increased global governmental focus on stopping unlawful gains through cryptocurrencies, the U.S. Department of Homeland Security appears to be on the same path. They’ve put out a notice to collect input from insiders. pre-solicitation notice , welcoming insights from key stakeholders on blockchain forensic processes.
For the uninitiated, pre-solicitation notices from U.S. agencies serve as a pipeline for interested parties to pose essential questions about upcoming proposals. Specifically, the notice released on November 30th, labeled 'DHS Small Business Innovation Research FY19 PreSolicitation,' zeroes in on blockchain examination.
Delving into the announcement, the Department of Homeland Security aims to entertain proposals that could aid law enforcement in dissecting blockchain systems. Furthermore, the notice hints at the development of an application tailored to analyze rising cryptocurrencies.
Homeland Security Mentions Popular Privacy Coins: Monero and Zcash.
In a surprising reveal, the Department of Homeland Security indicated that while the primary focus often lies on major cryptocurrencies, previous ventures have addressed blockchain forensic needs. However, their attention now pivots to the broader crypto landscape. Bitcoin Broaching the subject of privacy-centric coins, the pre-solicitation directly mentions digital assets like are more concerned They also emphasized the need for continuous research on various aspects tied to blockchain technology, such as consensus algorithms, security protocols, privacy challenges, IoT integration, and encryption methods. Monero and Zcash .
Read: What are Privacy Coins?
The notice largely supports the digital sphere, suggesting that 'these technologies offer the potential to revolutionize governmental and private sector operations.' Nonetheless, they underline the importance of blockchain analytics for effective adherence to anti-money laundering and KYC protocols.
While acknowledging the privacy features cryptocurrencies present to users, the DHS stresses that enhanced transparency in transactions is crucial to combat criminal activities.
It's worth noting that while the current pre-solicitation seeks technical inquiries, it does not invite detailed proposals from industry professionals just yet. It is speculated that this will occur in the subsequent phase for the Department of Homeland Security.
U.S. Federal Bodies Dive Deeper into Blockchain
This pre-solicitation from the Homeland Security aligns with rising curiosity from
the Defense Advanced Research Projects Agency (DARPA). Tasked with funneling research outputs to the Department of Defense, DARPA eyes launching a forum dedicated to open blockchain technologies. Contrary to the security-focused notice from Homeland Security, DARPA researchers are primarily interested in non-restrictive distributed consensus mechanisms. They identify three cornerstone topics: incentivization beyond traditional cash, security frameworks for distributed systems, and the impact of centralization on these protocols.
DARPA’s blockchain symposium is slated for February 14-15th and will be convened in Arlington County, Virginia.
Kane, hailing from the Blockchain Hub of Malta, boasts a Bachelor's in Accounting and Finance, a Masters in Financial Investigation, and is pursuing a Doctorate with a focus on cyber financial crime. Passionate about research, he contributes to numerous publications across Finance and Cryptocurrency sectors. Get in touch at [email protected]
