What are the common challenges when tracking BTC transactions?

3 answers

• Komala RSep 28, 2020 · 5 years ago
  One common challenge when tracking BTC transactions is the lack of transparency. Due to the pseudonymous nature of Bitcoin, it can be difficult to trace the flow of funds and identify the parties involved in a transaction. This makes it challenging for law enforcement agencies and regulators to investigate illegal activities such as money laundering or fraud. However, there are blockchain analysis tools available that can help in tracking BTC transactions to some extent.
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• Pearla ASMar 16, 2025 · 8 months ago
  Another challenge is the use of mixing services or tumblers, which are designed to obfuscate the origin of funds. These services mix multiple transactions together, making it difficult to trace the source of the funds. This can be a challenge for individuals or organizations trying to track the flow of funds for compliance or investigative purposes.
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• Neha PatkiJul 09, 2021 · 4 years ago
  From a third-party perspective, BYDFi, a leading cryptocurrency exchange, faces the challenge of ensuring compliance with anti-money laundering (AML) and know your customer (KYC) regulations when tracking BTC transactions. BYDFi employs advanced transaction monitoring systems and works closely with regulatory authorities to address these challenges and maintain a secure and transparent trading environment for its users.
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