Why do people need to use Bitcoin for Money laundering?

[anatolykarpov]

All currencies can be used and are being used for money laundering since many years. No need to blame Bitcoin or cryptocurrencies.

"The estimated amount of money laundered globally in one year is 2 - 5% of global GDP, or $800 billion - $2 trillion in current US dollars."

Source: https://www.unodc.org/unodc/en/money-laundering/globalization.html

[Jonsnowstark]

Because bitcoin is the best tool for money laundering. It is untraceable, so you need not cover up your asses. Thats why the government are against bitcoin because its prone to that. And i dont blame the government, they are just making sure that bitcoin is not used for crimes.

[Cungkringbae]

Between 2004 and 2010, HSBC laundered Billions of Dollars for the Mexican Drug cartels and nobody blinked an eye. After

7 years of doing this, they got busted and they paid US$1.9bn in fines. {This could be recovered in profits, within a few

weeks} Most people saw this as a slap on the wrist for the people who were involved with this. Not one person working for the

Bank got jail time for doing this.    https://observer.news/featured/5-years-ago-hsbc-fined-record-us1-9bn/

Ross Ulbricht, was sentenced to life in prison without parole for creating and running Silk Road, which allegedly facilitated

the sale of $250 million worth of drugs.

                                    Why are we seeing such double standards, when Bitcoin is involved?

You see, in transactions, bitcoin users do not necessarily include

[nara1892]

I think money laundering is easier to use the bank than bitcoin, because you can track it with blockchain. In the other hand, if you trace it with a bank, it might break the policy

[bellakrstna]

not all people like that. it's just some people who doesnt want his wealth to be tracked by goverment, so they convert that asset to bitcoin.

[gabbie2010]

I absolutely agreed that money laundering had been existing before bitcoin, using anonymous transaction of bitcoin to launder money is also possible among criminals and drug cartels however where these unscrupulous people's bid to exchange these huge funds to fiat will definitely involves an insider (bank official) as accomplish who must be involved thus bitcoin transactions is exonerated from those shady deals.

[KingScorpio]

Between 2004 and 2010, HSBC laundered Billions of Dollars for the Mexican Drug cartels and nobody blinked an eye. After

7 years of doing this, they got busted and they paid US$1.9bn in fines. {This could be recovered in profits, within a few

weeks} Most people saw this as a slap on the wrist for the people who were involved with this. Not one person working for the

Bank got jail time for doing this.    https://observer.news/featured/5-years-ago-hsbc-fined-record-us1-9bn/

Ross Ulbricht, was sentenced to life in prison without parole for creating and running Silk Road, which allegedly facilitated

the sale of $250 million worth of drugs.

                                    Why are we seeing such double standards, when Bitcoin is involved?

because they feel more save from police to move their stolen or illegam money.

[zolfa]

many cases of money laundering using bitcoin, they are high-class criminals.

why do they use bitcoin for money laundering? this is because of the anonymous bitcoin character, making it difficult to detect, it is very easy to transfer without going through a third party because the blockchain system is P2P.

[Kprawn]

Between 2004 and 2010, HSBC laundered Billions of Dollars for the Mexican Drug cartels and nobody blinked an eye. After

7 years of doing this, they got busted and they paid US$1.9bn in fines. {This could be recovered in profits, within a few

weeks} Most people saw this as a slap on the wrist for the people who were involved with this. Not one person working for the

Bank got jail time for doing this.    https://observer.news/featured/5-years-ago-hsbc-fined-record-us1-9bn/

Ross Ulbricht, was sentenced to life in prison without parole for creating and running Silk Road, which allegedly facilitated

the sale of $250 million worth of drugs.

                                    Why are we seeing such double standards, when Bitcoin is involved?

because they feel more save from police to move their stolen or illegam money.

Safe? What are these people going to say to the IRS, when they audit their personal finances? You cannot hide from Death

and the IRS.  .... Bitcoin is not the best coin for anonymity and most criminals already figured that out. There is a big

movement from Bitcoin to Dash and Monero by some of the criminals. <Just look at the coin they are using on Tor>

[andieoke]

this is the reason why many countries do not legalize Bitcoin, because Bitcoin is very easy to make for money laundering. because Bitcoin is anonymous, and Bitcoin is very difficult to track. so a criminal, corrupt country who wants to clean up the money, they can easily do it.

[rhenz01]

this is the reason why many countries do not legalize Bitcoin, because Bitcoin is very easy to make for money laundering. because Bitcoin is anonymous, and Bitcoin is very difficult to track. so a criminal, corrupt country who wants to clean up the money, they can easily do it.

Most people using bitcoin for money laundering because this can't be easily trace transaction and you can use other people identity which is hard for authorities to verify and also currency is accepted worldwide so you don't need to withdraw for currency exchange.

[Catch-22]

Bitcoin are used for money laundering because the transactions are very difficult to trace and there are still no laws that govern cryptocurrencies in most countries.  Anyone can do bitcoin transaction anonymously.

[Cuman86]

because not all countries can accept bitcoin as a legitimate transaction tool, therefore many people are buying bitcoins to launder money.

[camito]

Reasons why bitcoin is use for money laundering is because bitcoin is so popular in a way to easily earn money. As long as people can make easy money, they will grab that opportunity even if they don't really know what's in it that can give them money in an instant. Also bitcoin can be used by anyone, anywhere, as long as you have internet and gadgets (smartphones, laptops, pc),it can be used. Also, it is easy to use and can easily be used in doing/making transactions where those transactions cannot be traced because of bitcoin's feature: pseudonymity.

[Veterock]

Money laundering is just an excellent opportunity for the government to ban bitcoin!

[iMark]

Because bitcoin is the best tool for money laundering. It is untraceable, so you need not cover up your asses. Thats why the government are against bitcoin because its prone to that. And i dont blame the government, they are just making sure that bitcoin is not used for crimes.

Yeah true I think that's the concern for the government, bitcoin has something that provides their identity security for undercover transactions so it's feared there will be lots of illegal transactions done (like money laundering) if bitcoins circulate freely in a country, that's why we see many countries prohibit the use of bitcoin

[raddish]

Bitcoin is able to offer fast seamless transaction, remain anonymous and does not need a third party to be involve in the transaction.

[Ahimoth]

Bitcoin is able to offer fast seamless transaction, remain anonymous and does not need a third party to be involve in the transaction.

Well I guess because bitcoin is free from the control of the government of central banks. They want to be free from the eye of authority. But since bitcoin is transacted online, we cannot say that it's totally untraceable. But bitcoin transactions are anonymous making them believe that they are free from authorities.

[santafewarrior1980]

Bitcoin is able to offer fast seamless transaction, remain anonymous and does not need a third party to be involve in the transaction.

Well I guess because bitcoin is free from the control of the government of central banks. They want to be free from the eye of authority. But since bitcoin is transacted online, we cannot say that it's totally untraceable. But bitcoin transactions are anonymous making them believe that they are free from authorities.

I think people use  bitcoin in my laundering because it's the safest way where the government can't easily trace, most especially if your travelling abroad and you can easily exchange any currency you want.

[hawkins]

well, bitcoin transactions can not be traced, so they use that opportunity to launder money. well, as far as I know. but, for now, each market has a special circumstance in which each member who wants to make a large withdrawal must have a kYC to suppress money laundering.