IRS starts bounty to break Monero encryption

[percare 3192]

Monero is the most famous untraceable coin known for the level of privacy it offers to the user.

 

The tax authority of the United States - IRS is now paying programmers up to $625.000 dollars as a bounty for anyone that cracks the Monero privacy. IRS said that they fear the rise of cybercrime will go unpunished when using hi-tech blockchain technology that gives anonymity and untraceability.

 

With Monero unlike Bitcoin and Ethereum transactions are not connected and it uses many methods to hide both the amounts and the wallets connected making it hard and impossible to track the transactions between wallets. The IRS starts this bounty and accepts participants until 16 September and cited the rise of cybercrime, and ransomware as their main concern.

 

Source: https://decrypt.co/41411/the-irs-is-offering-you-625000-to-crack-monero

[Irungu 4299]

The famous IRS, you dont pay taxes they will still get tou you and they have brought down so many celebrities and organizations because of taxes , and if a coin can hide secrets so much thats is even hard to trace, then am sure they will follow that coin to the last, this could be a safe haven for tax evaders

[Raqeebzy 6456]

18 hours ago, percare said:

The tax authority of the United States - IRS is now paying programmers up to $625.000 dollars as a bounty for anyone that cracks the Monero privacy. IRS said that they fear the rise of cybercrime will go unpunished when using hi-tech blockchain technology that gives anonymity and untraceability.

Privacy or anonymity in cryptocurrency transactions (especially monero, Zcash, Dash and others) and seems to be its most admired property and I have been a fan of it except for the illegal use in the dark web. 

But I think with time, it might never exists, there was news of  some software developed against it (coinbase and US feds has bought in to it reportedly) and this seems like an additional effort. It is unfortunate but more targeted at the illegal activities.

[Ridam 7455]

It's because of the increase of use of coins like Monero ,Zcash in the field of illegal activities. And because of such bad use in mostly dark web activities, US government is taking such steps. 

In the same program they are seeking people to trace the Bitcoin Lighting Network also. Let's see how it goes programmers from Hackathon would be joining it across the globe.

[Teminali69 1081]

From what i have heard is that; there are more privacy coins than monero so cracking monero will not solve the dark web and cyber-crime issues.

[rekter 8129]

They would probably make even more money by leverage shorting it right after cracking it. Remember that this woudn't just render Monero near worthless, it would reveal every past transaction from day one.

[Masterrex 559]

Will thats interesting story, let's see how though the Monero's privacy encryption and how long it can defend its privacy function further IRS is very determine undress the Monero's privacy encryption technology so we better follow this very interesting event and wait what will happens next! 

[magd 5231]

Monero has achieved a lot of fluctuations in the past months. There are speculations in the recent period on this currency, but I have not heard about this bonus recently. Perhaps it is one of the ways to get rid of Monero

[Moaz 7239]

Monero is characterized by a high level of privacy and is one of the most secure cryptocurrencies and maintains the identity of its users and its transactions cannot be tracked, and I do not think that the American Tax Authority will find hackers who can penetrate the transactions Monero Currently despite this great bonus it provides Currently

[Omar Ommeish 4872]

Yes, it is a difficult currency to track, so there are many users who prefer to use this currency for their transactions in order to evade taxes, but I do not use it because in my country there are no taxes on cryptocurrencies.

[kryptonick 2659]

It will be very bad if they break it as this is the most powerful privacy coin having many technologies as ring signatures making it unique and right now a good investment too, but if they crach the monero privacy then it is over.

[Mella 3680]

I am begin to read about the cryptocurrency and monera is the coin that come with very bad news since I am started. I have not trade or bought any of this coin but now I am found why it is so wanted and talked about. The cryptography it use make it not traced and it is used a lot for ilegal trading but the irs is for taxes and not crime. Is it use for tax avoide too?

[cryptovlek 2597]

I know that Monero is the most difficult coin for authorities to track but the money the IRS offers are a lot and maybe some skilled people will be attracted and manage to break the encryption. But this also proves that monero has strong privacy and can be considered a coin with a strong use case that others dont have.

[percare 3192]

On 9/11/2020 at 12:32 PM, rekter said:

They would probably make even more money by leverage shorting it right after cracking it. Remember that this woudn't just render Monero near worthless, it would reveal every past transaction from day one.

I read more news about this. They given two contracts in two companies one is known to us it is Chainalysis the other I did not know. Here is the link:

 

https://dailyhodl.com/2020/10/01/irs-deploying-two-firms-to-track-crypto-transactions-in-million-dollar-deal/

[rekter 8129]

42 minutes ago, percare said:

I read more news about this. They given two contracts in two companies one is known to us it is Chainalysis the other I did not know. Here is the link:

 

https://dailyhodl.com/2020/10/01/irs-deploying-two-firms-to-track-crypto-transactions-in-million-dollar-deal/

So if they will crack it completely, they aren't telling anyone. They will just use it. Must be pretty scary situation to some people.

[annayks 2314]

They have already given the contracts to two companies and the software to track monero transactions can happen soon. What some people don't know is that what is locked can always be unlocked but they think because they are safe and anonymous now they will always be. This is very difficult to happen.

[Teminali69 1081]

1 hour ago, rekter said:

So if they will crack it completely, they aren't telling anyone. They will just use it. Must be pretty scary situation to some people.

It is always scary about crypto, but not in the way you think, breaking the encryption will only remove privacy in the coin and the government can track and monitor monero movements and transactions not stealing people money or even destroy the coin for good, that they can not do, Satoshi Nakamoto made sure of that for not just bitcoin but all the other coins as well.

[rekter 8129]

5 minutes ago, Teminali69 said:

It is always scary about crypto, but not in the way you think, breaking the encryption will only remove privacy in the coin and the government can track and monitor monero movements and transactions not stealing people money or even destroy the coin for good, that they can not do, Satoshi Nakamoto made sure of that for not just bitcoin but all the other coins as well.

Monero's whole thing is privacy, it really has nothing else to offer. If that's being taken away,

it will be worthless and has no value because it doesn't have other unique qualities.

People rather move on to other coins.

 

Other coins offer other qualities and i am not speaking about those, they will be fine.

[Teminali69 1081]

11 minutes ago, rekter said:

Monero's whole thing is privacy, it really has nothing else to offer. If that's being taken away,

it will be worthless and has no value because it doesn't have other unique qualities.

People rather move on to other coins.

 

Other coins offer other qualities and i am not speaking about those, they will be fine.

You have got a point there this might destroy Monero in a way, but i do not think that more than 70% of monero users cares about privacy, most do not even know what it real means.. don't you agree?

[rekter 8129]

1 hour ago, Teminali69 said:

You have got a point there this might destroy Monero in a way, but i do not think that more than 70% of monero users cares about privacy, most do not even know what it real means.. don't you agree?

Sorry, i don't agree, and i don't understand where you see the value after it's cracked. It's currently the nr1 coin for anonymity, and it's known mainly for that. Even if people invested only because the chart looked good, it won't look good after those 70% panic sell their coins. But i would say that the number would be higher.

 

But even if some people would stay and or mine it (for reasons i can't possible understand). Most of the people would sell their coins while they still have value, creating a sell pressure that would start from somewhere $1,5+ Billion dollars, and while it would be dumped the sell pressure would do down, and some people would still trade the swings if it on the way down, the value would still go down 99.99% eventually if it wasn't fixed.

 

And thing is... they wouldn't know what to fix or how to fix it as long as the cracking/trading method stays a secret.

Edited October 2, 2020 by rekter

[Captain Karim 0]

Yes, the number of cyber crimes increases every day, because the Internet is an open world, and criminals are constantly developing their technology, but it cannot be said that hacking Monero and detecting transactions on the blockchain will eliminate cyber crimes, not at all, and also I doubt they will be able to do so.

[TimopheyKa 3900]

Wow, this is interesting! I think that since programmers are paid such a large amount, it means that this site is really very anonymous, and in General, it has a huge privacy. I think he has great motives for the future, and in General, we can expect interesting news!

[Sykkuno 2887]

I have read that there are some companies that were interested as the money wasn't bad and they are helping the IRS with the breaking of the monero encryption. I hope that Monero will have an answer ready and when it is found that the current encryption is not working there will be an upgrade instantly.

[yonkii 3205]

I don't have fears for Monero but I hope that their protocols are so hard that these guys won't break them. Maybe they will not make it and Monero will be the best privacy coin then. We have to keep reading news about it to invest if this happens.

[Shaza Ahmad 1682]

Well, I don't think at the present time that ordinary users will be able to hack into the Monero Blockchain and detect transactions, but maybe in the future when experienced programmers get access to a quantum computer from Google that has extraordinary processing capabilities, it could be at that time that the balance is equal and we don't know who Will prevail.