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The Cryptocurrency Was Stolen by Hackers Last Year to the Tune of $4 Billion.


In the past year, a blockchain analytics firm that tracks cybercrime detected a record $3.8 billion worth of cryptocurrency stolen by hackers extensively, primarily from North Korea. As per a report published last week by researchers at Chainalysis, 2022 will be seen as one of the biggest years ever in terms of cryptocurrency hacking. The company reported a $2 billion increase in thefts from the $3.3 billion stated in 2021, according to its report. A confidential United Nations report published on Monday revealed that North Korea had stolen more digital assets in 2016 than it had in any previous year. 

There was a period when U.S. investors poured millions of dollars into Bitcoin, Ether, and Dogecoin. As a result, they were hoping that the Coronavirus pandemic would result in a fortune. It should be noted, however, that some investors on platforms with poor cybersecurity instead lost their digital wallets by being victimized by hackers, which made their investments worthless.  

Cybercriminals in North Korea stole $1.7 billion in cryptocurrency in 2022, shattering their yearly record for the highest number of cryptocurrencies stolen in a given year. This is according to a Chainalysis report published earlier this month. 

North Korea's total exports in 2020 were $142 million. Therefore, it's fair to assume that cryptocurrency hacking is a significant economic component of the country. This is because it represents a notable portion of the economy, the researchers commented. 

Crypto industry regulators have renewed their calls for regulation by calling for more regulation in the wake of more investors losing money in crypto. After FTX Trading, the third largest crypto platform collapsed and declared bankruptcy in November, scrutiny of the industry increased even more due to this unexpected failure. 

As Cryptocurrency Hacking trends tend to ebb and flow, Chainalysis estimates the number of crypto hacks will peak between March and October of 2022. During October, there were 32 attacks totaling $775.7 million due to cryptocurrency hacks. According to the report, this is the biggest single month for cryptocurrency hacking ever.  

As a result of hackers' activities, decentralized finance platforms, or DeFis, were targeted for 82% of all stolen funds across the world last year, Chainalysis reported. Usually, criminals operate in the crypto space when investors and operators are actively transferring funds from a single blockchain to another through a so-called cross-chain bridge.  

A cross-chain bridge owned by Binance was hacked in October, and $586 million in crypto was stolen from it. This was the biggest hack of October in terms of crypto theft. There have been some security issues at the company that led to the hack, but they managed to minimize the damage.  

According to David Schwed, the chief operating officer of Halborn, a blockchain security firm based in New York, some crypto companies do not prioritize security over other aspects of their business, allowing bad actors to exploit DeFi platforms.  

As Schwed stated in Chainalysis' report, for a complicated protocol to be secure, the security team should consist of 10 to 15 people. Each person should have their area of expertise. There is no clear demand for better security among the DeFi community - they often want to switch over to protocols that offer high returns but the incentives are liable to lead to problems down the road.

How Threat Actors Are Changing Money Laundering Campaigns

Change in the money-laundering game

It is next to impossible to locate the exact amount of money that's been laundered globally, conservative estimates suggest anywhere between $800 million to $2 trillion. This is just the tip of the iceberg. It's a crime that fuels some of the world's most dangerous criminal operations. 

It's also a tactic threat actors use to cover up their tracks and the profits they make from campaigns like large-scale ransomware attacks. The increase of cryptocurrency has also allowed cybercriminals to avoid getting caught. 

Financial enterprises, cryptocurrency companies, and other institutions have to pay fines for not being able to root out money laundering as regulators and government agencies worldwide try to crack down on this major challenge. 

The bad news is that as we move toward 2023, automation is going to make the situation only worse. We can expect a rise in money laundering as-a-service. The good news is that there are ways to fight this problem and collectively mitigate cyber criminals' ability to operationalize. 

The Crypto money laundering case

A go-to tactic by threat actors looking to advance in ranks is using 'money mules.' Money mules are individuals that help launder money- sometimes, unknowingly. They're often baited under promises of legitimate jobs and false pretenses, only to find later that the job is to help launder profits from cybercrime. 

Traditionally, money laundering was done through anonymous wire transfer services. These transfers can be tracked easily by law enforcement agencies and regulators. Nowadays, cybercriminals have shifted to using cryptocurrency. 

A lack of regulatory supervision along with anonymous transactions, make it the ideal platform for money laundering. A Chainalysis report discovered that cybercriminals laundered $8.6 billion in cryptocurrency in 2021. It's a 30% increase since that year. 

Rise in money-laundering recruitment campaigns

Making recruitment campaigns for money mules takes a lot of time and resources. To hide their true purpose, threat actors will sometimes go to great extents and build genuine-looking websites for fake companies and also post fake job openings to make the business look authentic. 

But machine learning (ML) and automation will make the process much easier and quicker. ML can effectively target potential recruits in less time. We can also expect a few manual campaigns replaced with automatic services that will allow cybercriminals to launder money through layers of crypto exchanges- it's going to make the process fast and difficult to track. It also means that it will be hard to recover stolen money. 

Together, these tactics make 'money-laundering-as-a-service' (MLaaS), and it's going to be another weapon in the cybercrime inventory. 

Combatting new money-laundering challenge

While threat actors will look for any means possible to launch an attack and launder money easily, it doesn't mean that we have to accept the situation as it is. 

The biggest factor in fighting the MLaaS is going to include public-private collaboration on a massive scale. Companies across the globe can share threat intelligence with each other, helping to build a secure defense. 

Dark Reading says, "it must be reiterated that cyber hygiene and education must be prioritized as well. No matter the type of organization you're in or the role you're in, this is essential for everyone. Everyone can play a key role in helping keep organizations safe from bad actors. This includes things like more digital literacy — and how to recognize a too-good-to-be-true job ad for the scam it really is. And of course, there's the concept of fighting fire with fire — as bad actors adopt more automation and ML-based approaches, so, too, must defenders."

Is Bitcoin Actually Safe? Here’s All You Need to Know


Since its creation in 2009, Bitcoin, the first and best-known cryptocurrency in the world, has had many ups and downs. One bitcoin was essentially useless when it first started. 

In May 2010, Laszlo Hanyecz purchased two pizzas for around 10,000 bitcoins, marking the first bitcoin transaction for the purchase of tangible items (BTC). The cost of those pizzas would have been approximately $650 million USD at the highest recorded price of bitcoin, which was almost $65,000 USD per coin. 

However, this year Bitcoin witnessed a fall of roughly 60%. In the meanwhile, the absence of a regulatory framework led to an increase in crypto crimes. The Federal Trade Commission estimated that bitcoin fraud cost INR 27 billion in just the first three months of this year. 

Despite the cryptocurrency market's volatility, advocates of Bitcoin have consistently argued that it provides anonymity and security that traditional money cannot. That's not actually true, though. Contrary to popular belief, Bitcoin is not at all secure or private. Bitcoin privacy issues Bitcoin does include some privacy precautions that most fiat currencies do not, such as the ability to create addresses that are unrelated to a person's identity. But it's not at all private. Here are the primary three justifications. 

Transactions are openly disclosed 

The blockchain, a public ledger, contains a record of every Bitcoin transaction. This implies that every transaction is visible to everyone who has access to the blockchain and that anyone may see all the transactions connected to a specific Bitcoin address. A threat actor or law enforcement agency might track every transaction you ever made if they were able to connect your Bitcoin address to your identity. 

The Use of Third-Party Services Required 

Bitcoin is dependent on outside services. For instance, you must register with an exchange if you want to purchase Bitcoin. The vast majority of exchanges demand multiple forms of identity verification from users. Your name, email address, street address, and other details are all covered by this. Most will also require a photo of an ID issued by the government. 

Government surveillance 

Governments worldwide are warming up to the idea of regulating Bitcoin since it has long been favored by criminals of all sorts. However, surveillance also endangers privacy in addition to controlling it. Law enforcement organizations swiftly adjusted to this new reality and now employ blockchain analysis to identify Bitcoin users and track their transactions. Even if you don't mind a third-party service knowing your identity, consider what may happen if it experienced a data breach. 

How to Safeguard Your Bitcoin 

The safety of your Bitcoin largely depends on how you store it. Your choice of crypto wallet and the degree of encryption it employs are key factors in ensuring the security of your currencies. 

Ryan Burke, general manager at Invest at M1 asserts that convenience and security are not always mutually exclusive. 

Although less practical than hot wallets, he claims that offline "cold" wallets that are not connected to the internet are safe against attack. Cold wallets can also be stolen or destroyed. Burke warns that if you misplace your private key or lose a device or drive, you will have trouble. 

Because you can access your cryptocurrencies from everywhere there is an internet connection or phone service, hot wallets are more practical but also more prone to hacking. 

“A prudent strategy is to use a combination of hot and cold storage, with most assets being held in cold storage,” Burke added. 

Before registering for a wallet or service, experts advise reading the terms and conditions so that your bitcoin doesn't unintentionally become another victim of the crypto liquidity crisis. Investigate whether buying Bitcoin is a good fit for your financial portfolio, just like with any other investment. Be ready for highs and lows if you decide to purchase BTC as part of your investing plan.

FTX: Failed Crypto Exchange Could Owe More Than 1 Million Creditors

Following the collapse of the crypto exchange FTX, and its associated businesses, it could owe money to more than a million people and organizations, according to the bankruptcy filings. The documents filed in bankruptcy court demonstrated the extent of a corporate collapse that has stripped traders’ accounts, plunging the crypto sector into crises. 

The investigations for bankruptcy commenced last week when FTX experienced an $8 billion shortfall due to a run-on deposit. Consequently, this led to the company which was once regarded as one of the safest and most reliable institutions of the freewheeling crypto industry crumbling overnight. 

The exchange’s founder Sam Bankman-Fried reportedly transferred $10 billion of customer funds from FTX to his trading company ‘Alameda Research.’ A large amount of that total fund has since disappeared. The total amount is said to be between $1-2 billion. 

The financial hole later came to light in records shared by Bankman-Fried with other senior executives last Sunday. The records provided a real-time account of the situation, some sources said. 

The company’s sudden downfall due to the run-on deposits last week left FTX unable to fulfill its customers' demands. Consequently, Bankman-Fried struck a rescue deal to sell his firm to its largest rival exchange, Binance. 

After a lengthy online skirmish between Bankman-Fried and Changpeng Zhao, CEO of Binance, a review stating FTX’s finances revealed various problems, posing as a deal breaker and Binance pulled out of the deal. Bankman-Fried attempted to secure new financing but was unable to, and later declared bankruptcy. The Justice Department and SEC are currently looking into his management of FTX. They are apparently focusing on whether FTX inappropriately transferred customer funds to Alameda Research.  

In regards to the case, Associate Professor in Finance Technology at the University of Liverpool, Gavin Brown referred to a recent report that suggested “42% of the exchanges which failed simply disappeared without traces.” 

According to Prof Brown “In the event of exchange failure, or even bankruptcy, it is the investors who are on the hook for losses” He, along with other industry experts warned that often smaller investors often end up back of the queue, after the remains of a crypto business are divided among themselves. They doubt much money will be coming back. 

"The unfortunate news is that the money's all gone. It's just not there anymore. Investors should expect pennies on the dollar," says crypto blogger and author David Gerard.   

Metaverse: Billions Spent In The Virtual Land Grab


A sum of almost $2 billion was spent on the virtual land over the past year, according to research from metaverse analysts DappRadar. Digital real estate and digital plots of land are being purchased by individuals like Snoop Dogg and corporate investors like Samsung Electronics and PwC for a variety of reasons, but many of them believe that its value will rise over time. 
The virtual land is being sold via online platforms like Decentraland and Voxels (formerly Cryptovoxels), which many people consider as a primal version of metaverse – a virtual world, where the online users can live, work and play. 

Moreover, businesses and investors are building digital shops and event spaces on the virtual land they purchased in the metaverse, which often allows visitors to make purchases via cryptocurrencies. 

However, we are yet years away from the metaverse emerging as a sole immersive space online for people to live, play and work. So, is spending large sums for the land grabbing one huge gamble? 

‘Exhibiting my own work’ 

With the giant red Mohican and a permanent cigarette, the avatar of artist Angie Taylor does not quite resemble a typical land mogul. Nonetheless, she is among the growing group of people, who are laying claim to the new virtual worlds. 

“I bought my first metaverse parcel in July 2020 and paid about £1,500. I bought it for exhibiting my own work, but also for running metaverse events that would promote my art and also other people's art," she says. 

These plots, owned by Angie are about the size of a small family house (if one compares them to the size of her avatar). The tallest of them all stretches up over three floors and even comprises a roof terrace with a white-and-black-striped road crossing, and a pink taxi permanently driving back and forth just for fun. 

But one can sense the reality of the scale of this world from the air. 

"Hold down the F key and you can fly up to take a look at my neighborhood," Angie explains. Above her gallery, one can see thousands of identical boxes of land stretching to the horizon. 

Voxels is one of the many virtual worlds that identify as metaverses. People frequently refer to "the metaverse" as if there were just one, which is confusing. Companies are selling land and experiences in their own versions until one platform begins to dominate or these disparate worlds join together. 

According to DappRadar, $1.93 billion worth of cryptocurrency has been spent in order to purchase virtual lands in the past year alone, with $22m of that spent on about 3,000 parcels of land in Voxels. 

Among the many luxury fashion brands, Philipp Plein as well owns a virtual plot about the size of four football pitches, which it hopes will eventually contain a metaverse store and gallery. 

With fashion industries being most interested in taking the opportunity and risks in regards to the metaverse, Amsterdam-based digital-only fashion house, ‘The Fabricant’ only makes clothing for the avatars, designing collections and bespoke garments for users of Decentraland, Sandbox, and other crypto metaverses. 

The company just raised $14m in funding from investors betting on the idea that many of us will soon be living part of our lives in the metaverse. But since crypto metaverses are generally sparsely populated and only really used when events are held, and even then only thousands, and not millions, of people attend. Consequently, it is not certain if and when it will happen.

Google Cloud Delivers Web3 Developers for Blockchain Node Engine

The Blockchain still has more than 38 million customers in 140 countries worldwide, according to the Google Cloud website. In a news release, the business stated that the launch represents a resolve to aid Web3 developers in creating and deploying new products on platforms based on blockchain technology. 

Blockchains serve as a sort of decentralized database because they are made up of transaction data that is encrypted and permanently stored. The governing infrastructure is a node, which is a computer or server that holds the whole copy of the blockchain's transaction history in addition to depending on a central authority to confirm data.

Amit Zavery, GM and VP of engineering and platform, and James Tromans, director of cloud web3, announced the new service in a blog post that explained how difficult it is for blockchain nodes to stay in sync since they must continually exchange the most relevant blockchain data. It requires a lot of resources and data.

By providing a service model to handle node creation and a safe development environment in a fully managed product, Google Cloud aims to make it simpler. From Google's standpoint, it is far simpler to let them handle the labor-intensive tasks while you focus on creating your web3 application.

Additionally, Web3 businesses that need dedicated nodes can create effective contracts, relay transactions, read or write blockchain data, and more using the dependable and fast network architecture of Google Cloud. Organizations using Web3 benefit from quicker system setup, secure development, and managed service operations.

The goal of Google's blockchain service is to deploy nodes with the security of a virtual private cloud firewall that restricts networking and communication to vetted users and computers. The ability to access the notes from processes like distributed denial of service assaults will be restricted by other services like Google Cloud Armor.

Gains from Node Engine

The majority will adopt this method after Ethereum, which will employ it first. The following are some advantages that businesses could gain from using this Google Cloud Node Engine.

It takes a significant amount of time to manually node, and it can prove difficult for a node to sync with the network. However, the developers can deploy nodes using Google Cloud's Node Engine in a single transaction, simplifying and speeding up the procedure.

In the realm of cryptocurrency, data security is of utmost importance. The developers will benefit from the Engine Node's assistance in protecting their data and preventing illegal access to the nodes. Additionally, Google Cloud shields the nodes from DDoS assaults, just like Cloud Armor.

This development seeks to "assist enterprises with a stable, easy-to-use blockchain node web host so they can focus their efforts on developing and scaling their Web3 apps," according to Google Cloud's official website.

An approved group fully manages the Google Cloud Engine Node. The staff will administer the system during an outage, therefore you will have no concerns about availability. Nodes need to be restarted and monitored during an outage; the group will take care of it for clients.

Hong Kong Will Legalize Retail Crypto Trading to Establish a Cryptocurrency Hub


A plan to legalize retail cryptocurrency trading has been announced by Hong Kong to create a more friendly regulatory regime for cryptocurrencies. There has been an opposite trend over the last few years in the city, with skeptical views, as well as China's ban on the practice. 

According to sources familiar with the matter, an upcoming mandatory licensing program for crypto platforms scheduled to take effect in March next year will allow retail traders access to crypto platforms. There has been a request not to name these people since they are not authorized to release this information publicly.

There have been reports that the regulators are planning to allow the listing of higher-value tokens in the coming months but will not endorse specific coins such as Bitcoin or Ether, according to the people. They noted that the details and timeframe are yet to be finalized since a public consultation is due first.

At a fintech conference that starts on Monday, the government is expected to provide more details regarding its recently announced goal of creating a top crypto hub in the region. To restore Hong Kong's reputation as a financial center after years of political turmoil and the aftermath of Covid curbs sparked a talent exodus, the marketing campaign comes amid a larger effort to put Hong Kong back on the map.

Gary Tiu, executive director at crypto firm BC Technology Group Ltd, said that, while mandatory licensing in Hong Kong is one of the most effective things regulators can do, they cannot forever satisfy the needs of retail investors who are investing in crypto assets. 

Criteria for listing 

According to people familiar with the matter, the upcoming regime for listing tokens on retail exchanges is likely to include criteria such as the token's market value, liquidity, and membership in third-party crypto indexes to determine eligibility for listing. Their approach resembles the one they used when it came to structured products such as warrants, they continued. 

Hong Kong's Securities and Futures Commission spokesperson did not respond to a request for comment regarding the details of the revised stance adopted by the agency. 

Several crypto-related Hong Kong companies that are listed on the stock exchange increased their share prices on Friday. In the same report, BC Technology climbed 4.8% to its highest in three weeks during the third quarter, whilst Huobi Technology Holdings Ltd. rose slightly. 

In a world where more and more regulators are grappling with how to manage the volatile area of digital assets. This area has gone through a $2 trillion rout, following a peak in early November 2021. The sector is finding it difficult to regain its previous strength. Firms that dealt in cryptocurrency were crushed by the crash because their leverage grew without limit and their risk management methods were exposed.

It is widely believed that Singapore has tightened up its digital-asset rules to curb retail trading in digital assets to deal with the implosion that has hit Hong Kong. 

There was a proposal earlier this week by Singapore to ban the purchase of leveraged retail tokens on the retail market. There was a ban on cryptos in China a year ago because it was largely illegal. 

Michel Lee, executive president of digital-asset specialist HashKey Group, said that Hong Kong is trying to frame a crypto regime that extends beyond the retail token trading market to incorporate all types of digital assets, including cryptocurrencies. 

Bringing the ecosystem to the next level 

Among other things, Lee believes that tokenized versions of stocks and bonds could become a much more significant segment in the future as time passes on. Lee said, "Just trading digital assets on its own is not the goal". According to Lee, digital assets are not intended to be traded on their own but the ecosystem must grow as quickly as possible.”

A big exchange such as Binance and FTX once had their base in Hong Kong. Their attraction was the reputation of a laissez-faire regime and their strong ties to China. A voluntary licensing regime, that was introduced by the city in 2018, limited crypto platforms' access to clients with portfolios exceeding HK$8 million ($1 million) to those with portfolios of less than that amount. 

It has been confirmed that only two firms have been approved to operate under the license, BC Group and HashKey. FTX successfully managed to turn away the more lucrative consumer-facing business to the Bahamas last year as a result of the signal of a tough approach. 

However, the plan to attract crypto entrepreneurs back to Hong Kong seems to be a bit short of what is needed to usher them back. Among other things, it remains to be seen if mainland Chinese investors would be able to trade in tokens through Hong Kong if that were to be permitted. 

Leonhard Weese, the co-founder of the Bitcoin Association of Hong Kong, expressed a fear that there might be a very strict licensing regime in the future. "The conversations I have had indicate that people still fear it will be very stressful," he said. The company claims that it is not competitive on the same level as overseas platforms. Therefore, it will not be as attractive to customers as it would be if it dealt directly with retail users. 

According to blockchain specialist Chainalysis Inc., the volume of digital-token transactions in Hong Kong through June declined less than 10% from a year earlier, the most modest increase in the region outside of a slump in China, in the 12 months through June. It has fallen two positions from its global ranking of 39 in 2021 to 46 in 2022 when it comes to crypto adoption throughout the city. 

The Securities and Futures Commission of Hong Kong's Fintech Department has also suggested that the city could take further steps in this area, including the establishment of a regime to authorize exchange-traded funds seeking exposure to mainstream virtual assets. 

It shows that the one country, two systems principle is being put into action in financial markets, Wong said at an event last week. He said that the fact that the city can introduce a cryptocurrency framework distinct from China's indicates how far it has come.

Missing Cryptoqueen: Leaked Police Files May Have Alerted the OneCoin Fraudster Ruja Ignatova


Best known as the “Missing CryptoQueen,” convicted fraudster Ruja Ignatova who was included on the most wanted list by the US Federal Bureau of Investigation (FBI) is assumed to be receiving the information of the investigation before her disappearance. 
The 42-year-old fraudster, based in Bulgaria is convicted of her suspected involvement in the $4 billion OneCoin cryptocurrency fraud. The details of the scam were uncovered in a BBC podcast ‘The Missing Cryptoqueen’ devoted to the infamous fraudster. 

The police documents related to the case were apparently shown in the podcast by Frank Schneider, a former spy and trusted adviser to Ignatova. Following the allegations, Schneider is now facing extradition to the US for his role in the OneCoin fraud. 

While the metadata on the files suggests that Ignatova acquired the said documents through her own contacts in Bulgaria, Schneider denies the claims of obtaining the documents himself, which he says were obtained on a USB memory stick by Ignatova. 
Ignatova disappeared on October 25th, 2017, after being made aware of the police investigation into her OneCoin cryptocurrency. Following this, in June 2022 she was included in the FBI's most wanted list.
In an interview with the BBC, Schneider informed about the police files containing presentations made at a Europol meeting named ‘Operation Satellite.’ The meeting was attended by officials from Dubai, Bulgaria, the UK, Germany, and the Netherlands along with the FBI, the US Department of Justice, and the New York District Attorney five months before the disappearance of Ignatova. 
The said documents contained details of US authorities having a “high-placed confidential informant”, bank accounts from OneCoin receiving investor funds, and failed attempts of the UK's City of London to interview Ignatova. 

On being asked about the aforementioned files, Schneider said "When the Bulgarians participated at certain Europol meetings, it only took hours for her to get a complete rundown and get the minutes of what was said in those meetings.” “I can only deduce that it came from the circles that she was in and the she had through a variety of influential personalities.”

E1 Salvador Hosting Promotional conference "Adopting Bitcoin"


The first nation to embrace bitcoin as authorized cash in the year 2021 is El Salvador. There is no evidence in recent years that suggest that the country El Salvador will renounce crypto accord. The country will be hosting the conference “adopting Bitcoin” which will aim to encourage the adoption of 

The conference “Adopting Bitcoin” will include an examination of technology and financial inclusion will be done. Approximately 110 speakers will be joining from 30 countries, one of the notable personalities is Senator India Kempis of Mexico.

In the 3rd week of November from 15th to 17th, the Bitcoin Beach conference will take place in San Salvador and the surrounding area. There is no event like the Bitcoin Conference that brings together the entire Bitcoin ecosystem for the purposes of collaboration, networking, and education.

E1 Salvador hosting a crypto-adopting conference

Bitcoin Beach Wallet, a bitcoin wallet developed and operated by Galoy Inc., is being rolled out in El Salvador through the platform that powers Bitcoin Beach Wallet. The bitcoin exchange Bitfinex will also be the primary sponsor of the event, which is taking place in November. In order to develop a financial technology platform for the issuance and trading of Volcano Tokens, Bitfinex is collaborating with the government of El Salvador to create a platform that will be used by both parties throughout the process.

It was impossible to have anticipated in 2021 that a sovereign government would be using Bitcoin as their official legal tender. A significant shift was observed in the public's perception of the nation as well as its currency as a result of the action. Currently, El Salvador is making progress on its way to becoming one of the first financial inclusion models in Central America and becoming the Singapore of Central America.

Nonetheless, Bitcoin has proven to be a very convenient exchange medium that can support millions of transactions each day, proving to be a very successful exchange medium. This conference will take place at the Crowne Plaza convention center in Orlando, Florida over the first two days. During the presentation, speakers will discuss the most recent advancements in the Bitcoin ecosystem from a technological and economic perspective.

Among the most significant presentations of the conference will be that of the Bitcoin Core engineer Jon Atak. Atak recently won a $50,000 grant from the Human Rights Foundation, and his presentation will be an important contribution to the technology field.

Another significant speaker at the economic conference will be Senator Indira Kempis of Mexico who is scheduled to deliver the keynote address. Kempis is known in the past for her advocacy for central bank digital currencies (CBDCs), which have been in the news for quite some time. Her effort to legalize bitcoin in Mexico, which made headlines globally, was another remarkable achievement. 

The Crypto Environment After Conference

The cryptocurrency market is presently undergoing a turbulent phase. As far as market conditions are concerned, the current market environment is by far the most severe crypto winter in history. As risk assets declined overnight, bitcoin (BTC) reached new weekly lows on September 28 as the price declined throughout the entire week.

There is a strong correlation between the value of digital currencies and the stock market in the U.S., which has prompted investors to pay close attention to monetary policy for this year. There has been a surge in interest rates along with pressure applied to the S&P 500 and the tech-heavy Nasdaq, which has influenced other risky assets, such as cryptocurrencies, as well as others in general.

As a result of this year's interest rate hikes, the United States Federal Reserve has not made any commitments to stop them yet, although this year's rate hikes have exerted pressure on risk assets such as cryptocurrency in general.

At the same time, investors are closely watching the U.S. dollar in order to determine how it will perform. It has been estimated that the dollar index, which measures how the greenback is performing against a basket of currencies, has increased by more than 18% so far this year. 

Hacked Devices Generated $53 for Every $1 Cryptocurrency Through Crypto Jacking


The team of security researchers evaluated the financial impact of crypto miners affecting cloud servers. They stated that this costs cloud server victims about $53 for every $1 of cryptocurrency mined by threat actors through crypto-jacking. 

Cryptojacking refers to the illegal method of extracting cryptocurrency from unauthorized devices, including computers, smartphones, tablets, and even servers with an intent of making a profit. Its structure allows it to stay hidden from the victims. The malicious actors generate income through hijacking hardware, as the mining programs use the CPUs of hijacked devices.  

The mining of cryptocurrency through the hijacked devices was primarily an activity of financially motivated hacking groups, especially Team TNT. It was responsible for most of the large-scale attacks against vulnerable Doctors Hub, AWS, Redis, and Kubernetes deployments.  

The cyber attackers updated the OS image by distributing the network traffic across servers that contained XMRig. It is a CPU miner for a privacy-oriented hard-to-trace cryptocurrency that has recently been considered the most profitable CPU mining.   

As opposed to ransomware, software that blocks access to systems until the money is paid, and includes aggressive law enforcement, rouge crypto mining is less risky for the cyber attackers.  

The Sysdig researchers used "Chimaera", a large campaign of TeamTNT for estimating the financial damage caused by crypto miners. The research revealed that over 10,000 endpoints were disclosed to unauthorized persons. 

In order to hide the wallet address from the hijacked machines and make tracking even harder, the cyber-attackers used XMRig-Proxy but the analysts were still able to discover 10 wallet IDs used in the campaign. 

Later the researchers disclosed that the 10 wallets held a total of 39XMR, valuing $8,120. However, they also mentioned that the estimated cost to victims incurred from mining those 29 XMR is $429,000 or $11,000 per 1 XMR. 

Moreover, they explained that, according to their estimates, the amount does not include amounts that are stored in unknown older wallets, the damage suffered by the server owner as a result of hardware damage, the potential interruptions of online services caused by hogging processing power, or the strategic changes firms had to make to sustain excessive cloud bills as a result of hogging processing power.

North Korean Hackers Target CryptoJob Seekers To Evade Western Countries Against Sections

North Korean state sponsors hackers are victimizing cryptocurrency workers with a new phishing campaign on LinkedIn and Indeed to plagiarize resumes and other people’s profiles to land remote work at crypto firms, security researchers at Mandiant said. 

Malwarebytes cyber security researcher, Hossein Jazi, published details of the attack on Twitter. Research analysis shows that the hackers leveraged a PDF containing information about the non-existent role of “engineering manager, product security” at crypto giant Coinbase. 

The objective behind this campaign is to get access to these firms’ internal operations, and projects and gather data about upcoming trends, including Ethereum network development, potential security lapses, and non-fungible tokens (NFTs). 

This information reportedly serves North Korean threat actors to launder cryptocurrencies that can later be used by the Pyongyang government to answer Western sanctions. 

Joe Dobson, a principal analyst at Mandiant, told the press that “It comes down to insider threats If someone gets hired onto a crypto project, and they become a core developer, that allows them to influence things, whether for good or not.” 

This phishing campaign also shares similarities with Operation In(ter)caption, in which hackers used LinkedIn phishing messages that were containing job offers for target working audiences in relevant sectors. Malicious files and data were sent either via email or LinkedIn in a OneDrive link, it was first exposed by ESET in June 2020. 

“Once the recipient opened the file, a seemingly innocent PDF document with salary information related to the fake job offer was displayed. Meanwhile, the malware was silently deployed on the victim’s computer. In this way, the attackers established an initial foothold and reached a solid persistence on the system,” ESET reported. 

Although, the government of North Korea denied its involvement in any cyber-related theft, however, the U.S. government federal agencies, such as the Department of State and the FBI, earlier this year released warnings to the organizations against randomly hiring freelancers from North Korea, as they were potentially misleading businesses with their true identities and state's (DPRK) backing in their activities. 

LockBit 3.0: Launch of Ransomware Bug Bounty Program


The "LockBit 3.0" ransomware update from the LockBit ransomware organization features the first spyware bug bounty program, new extortion methods, and Zcash cryptocurrency payment choices. After two months of beta testing, the notorious gang's ransomware-as-a-service (RaaS) operation, which has been operational since 2019, recently underwent an alteration. It appears that hackers have already employed LockBit 3.0.

Bug bounty plan for LockBit 3.0 

With the launch of LockBit 3.0, the organization launched the first bug bounty program provided by a ransomware gang, which asks security researchers to disclose bugs in exchange for incentives that can go as high as $1 million. In addition to providing bounties for vulnerabilities, LockBit also pays rewards for "great ideas" to enhance the ransomware activity and for doxing the operator of the affiliate program, identified as LockBitSupp, which had previously posted a bounty plan in April on the XSS hacking site.

"We open our bug bounty program to any security researchers, ethical and unethical hackers worldwide. The compensation ranges from $1,000 to $1,000,000," reads the page for the LockBit 3.0 bug reward. The notion of initiating the criminal operation would be against the law in many nations, however, makes this bug reward scheme a little different from those frequently utilized by respectable businesses.

LeMagIT claims that version 3.0 of LockBit includes several other improvements, such as new methods for data recovery and monetization, as well as the option for victims to choose to have their data destroyed, and the ability for victims to make payments using the Zcash cryptocurrency in addition to Bitcoin and Monero. 

LockBit is producing outcomes. In May, LockBit 2.0 succeeded Conti as the leading provider of ransomware as a service. The gang's previous ransomware, LockBit 2.0, was to be blamed for 40% of the attacks that NCC Group observed in the preceding month. Moreover, according to Matt Hull, worldwide lead for strategic threat intelligence at NCC, The most prolific threat actor of 2022 is Lockbit 2.0,  In times like these, it's imperative that businesses become familiar with their strategies, methods, and processes.

It is unclear how this new extortion technique will operate or even whether it is activated because the LockBit 3.0 data leak site currently does not have any victims. With its public-facing manager actively interacting with other malicious actors and the cybersecurity community, LockBit is one of the most prolific ransomware campaigns.

Three Malware Fileless Phishing Campaigns: AveMariaRAT / BitRAT /PandoraHVNC


A phishing effort that was distributing three fileless malware onto a victim's device was detailed by cybersecurity experts at Fortinet's FortiGuard Labs. AveMariaRAT, BitRAT, and PandoraHVNC trojan viruses are spread by users who mistakenly run malicious attachments delivered in phishing emails. The viruses are dangerously capable of acquiring critical data from the device.
Cybercriminals can exploit the campaign to steal usernames, passwords, and other sensitive information, such as bank account numbers. BitRAT is particularly dangerous to victims because it can take complete control of infected Windows systems, including viewing webcam activity, listening to audio through the microphone, secretly mining for cryptocurrency that is sent to the attackers' wallet, and downloading additional malicious files.

The first phishing mail appears to be a payment report from a reputable source, with a brief request to view a linked Microsoft Excel document. This file contains dangerous macros, and when you open it, Microsoft Excel warns you about using macros. If the user disregards the warning and accepts the file, malware is downloaded. The malware is retrieved and installed onto the victim's computer using Visual Basic Application (VBA) scripts and PowerShell. For the three various types of malware that can be installed, the PowerShell code is divided into three pieces. This code is divided into three sections and employs the same logic for each virus: 
  • A dynamic mechanism for conducting GZip decompression is included in the first "$hexString." 
  • The second "$hexString" contains dynamic PowerShell code for decompressing the malware payload and an inner.Net module file for deploying it. 
  • The GZip-compressed malware payload is contained in the "$nona" byte array. The following PowerShell scripts are retrieved from the second $hexString and are used to decompress the malware payload in $nona and to deploy the malware payload into two local variables using the inner.Net module. 
The study doesn't explain as to why the phishing email contains three malware payloads, but it's conceivable that with three different types of malware to deploy, the cybercriminals will have a better chance of gaining access to whatever critical information they're after. 

Phishing is still one of the most prevalent ways for cyber thieves to deliver malware because it works – but there are steps you can take to avoid being a victim. Mysterious emails claiming to offer crucial information buried in attachments should be avoided, especially if the file requires users to allow macros first. Using suitable anti-spam and anti-virus software and training workers on how to recognize and report phishing emails, businesses may help workers avoid falling victim to phishing emails.

Analysis of Cryptocurrency Fundraising


A cryptocurrency is a form of digital currency meant to make internet transactions extremely safe. Investors and authorities are paying attention to the unexpected increase in the value of cryptocurrencies. The digital era has surely aided in the advancement of our understanding and use of money. We are also on the verge of a new financial revolution, which is linked to the fourth industrial revolution. There are currently 9,271 distinct cryptocurrencies available, with Bitcoin, Ethereum, Tether, BNB, and USD being the most renowned ones.  

Cryptocurrencies, despite being older than the iPad, have just entered the public sphere, with their impact being predominantly felt in the last three or four years. The aspect of digital currencies has spread to numerous banks, including JP Morgan and Wells Fargo, which are developing their own cryptos. Blockchain, AI, IoT, and a slew of other technologies are making inroads into our daily lives as more traditional concepts and technologies are scrambling to stay up or risk becoming obsolete. 

Bitcoin, one of the most popular cryptocurrencies, was launched in 2009 and employs peer-to-peer technology to enable rapid transactions without the involvement of institutional bodies such as banks or governments. A password or a private key is required to access the received cryptocurrency in the wallet. Furthermore, the transaction is safeguarded by blockchain technology when it is sent from one wallet to another.

Physical currency serves as a universal measure of worth as well as a quick means of transmitting it. The switch to such a system would very certainly be tough, as cash may become incompatible in the blink of an eye if the crypto world advance at the current pace. Established banking institutions would almost certainly have to hustle to adapt. Governments across the world are now accepting blockchain and cryptocurrency. According to the Gartner report, 83 nations are currently experimenting with or deploying as such Central Bank Digital Currencies, or CBDCs, which account for 90 percent of global GDP. While many businesses initially offered to accept Bitcoin during its first boom, this list has progressively reduced, reinforcing doubt about the cryptocurrency's potential as a medium of trade. 

In India, cryptocurrency boomed relatively late when it already cost millions of rupees, as a result, Indians have few Satoshis (small units of a bitcoin) but this isn't the case in every situation. People are dealing in smaller units such as milli or micro bitcoins as the worth of cryptocurrency. 

Furthermore, the price of a cryptocurrency varies between exchanges, which is a clear breach of the legislation of one price.

While bitcoin performs admirably as a wealth vault, its volatility makes it riskier and exposes it to increased danger of loss. Several variables influence the price of a single bitcoin, like supply and demand, competition, and regulation. Investor perceptions of cryptocurrency are also influenced by recent news events.

The lack of other traits for crypto in India is typically associated with modern physical currencies; they cannot be deposited in a bank and must be held in digital wallets, which are costly and risky due to the possibility of hacking, staff corruption, public IP addresses, and ransomware. In many aspects, government supervision over central currency is essential for regulation, and cryptocurrencies would function with far less government oversight. Bitcoin's supply is set; there is an absolute limit of 21 million units.

In order to maintain steady price levels, the money supply must be able to rise in lockstep with macroeconomic activity, otherwise, the problem can only be solved by raising the velocity of money or by a substantial drop in prices. This might put the economy in jeopardy. 

For investors, bitcoin's artificial scarcity is a benefit: increased demand combined with inelastic supply leads to a greater price. The lack of a central regulator renders investor protection untenable and raises the likelihood of greater instability. People engage in these markets expecting the cryptocurrencies would grow in the future; this presumption fuels speculative behaviours, and a quick shift in the presumption may cause the market to crash, injuring many naive investors. 

The magnitude of economic harm is influenced by the connectivity between crypto-assets and the traditional banking industry. According to economists, direct exposure from cryptocurrencies to the financial system might be transmitted, and indirect repercussions could expand to other asset classes. Crypto assets, according to the RBI financial stability report (2021), offer long-term risks for capital control management, financial and macroeconomic stability, and monetary policy transmission.

China has taken the toughest stance on cryptocurrencies, going from allowing crypto mining to outright prohibiting it as of June 2021. Regulations are divided between the federal and state governments in the United States and India. Most EU draught Markets in Crypto-Assets Regulation (MiCA) legislation was announced by the European Commission in September 2020. The UK  is currently supervised by the Financial Conduct Authority (FCA). It's worth noting that the South American nation was the first to declare Bitcoin to be legal cash.

If we look at the evolution of crypto as a currency, it has virtually achieved its goal of decentralisation, and is now one of the main firms such as Tesla, Microsoft, and Meta are investing in it. On the other hand, the emerging cryptocurrency has the issue of being hackable. In the long run, if cryptocurrency continues to develop at its current rate, it may eventually replace fiat currency, resolving the issues of hacking and extreme volatility.

Financier Diakonov Called Russia the Future Cryptocurrency Center of the World


Mr. Diakonov predicted the future of cryptocurrency and called it a possible alternative to traditional money. "Time will tell how it will be built into the system of international payments and trade," he said.
The financier also stated that Russia can become a cryptocurrency world center since it has the necessary knowledge, capabilities and technologies to create this product. However, it is difficult to guess when this scenario will come to life,since the concepts of cryptocurrencies proposed by the Ministry of Finance and the Central Bank do not reflect the current situation. 

"If the task is to transfer part of the international settlements into the "new currency," in case this instrument will acquire the scale, then sanctions measures from the West may affect it as well. And we may see the next prohibitive measures of an international nature," he explained. 

According to Mr. Diakonov, China, as Russia's largest business partner, is not yet ready to switch to cryptocurrency trading. However, he suggested that the country would start using the digital yuan. "Here we see great prospects for creating new synthetic products that will become a growth point for the economy," he concluded. 

Earlier, the founder and CEO of the world's largest cryptocurrency exchange Binance, Changpeng Zhao, said that next year there will be more transparency in the regulation of crypto-assets, and this is a positive signal for the market. In addition, there will be new options for their use. But the crypto market moves cyclically, and an upturn is followed by a downturn. Whether it happens next year or later is hard to predict. Asset volatility will continue regardless of who comes to the market. "Our personal goal for next year is to get as many licenses around the world as we can; we expect to get 10 to 20 more licenses next year." 

In addition, there will be new ways to use them. But the crypto market moves cyclically, and a period of recovery is followed by a recession – it will happen next year or later, it is difficult to predict. Asset volatility will continue regardless of who comes to the market. "Our personal goal for next year is to get as many licenses around the world as possible. We expect to get another 10-20 licenses next year." 

Earlier, the Ministry of Finance submitted to the government a bill on the legalization of cryptocurrencies. According to the document, Russians will have the right to legally invest up to 600 thousand rubles ($7,600) in cryptocurrency annually. However, this will require special testing.

The Ministry of Finance Proposed to Test Russians Before Buying Cryptocurrencies


On February 18, the Ministry of Finance submitted a bill on the regulation of cryptocurrencies to the government. At the same time, public discussions began. On Monday, February 21, the agency published details of the document on its official website. 

According to the proposal of the Ministry of Finance, the use of digital currencies as a means of payment in Russia will continue to be prohibited. However, the Ministry of Finance suggests leaving cryptocurrencies only as a tool for investment. The bill defined the requirements for exchanges and exchangers that will deal with cryptocurrencies. 

Foreign cryptocurrency exchanges will have to register in Russia in order to obtain a license. The Ministry of Finance proposes to allow transactions with the purchase or sale of cryptocurrencies only if the client is identified. The deposit and withdrawal of cryptocurrencies will be possible only through banks using a bank account. 

Exchanges must inform citizens about the high risks associated with purchasing digital currencies. Citizens will undergo online testing before purchasing cryptocurrencies, which will determine the level of knowledge of the specifics of investing in digital currencies and awareness of possible risks. 

According to the official website of the Ministry of Finance, "with successful testing, citizens can invest up to 600 thousand rubles in digital currencies annually. If the testing is not passed, then the maximum amount of investment will be limited to 50 thousand rubles (about 0.015 bitcoins at the time of writing the news). Qualified investors and legal entities will make transactions without restrictions." 

The agency also proposes to consolidate the definition of digital mining as an activity aimed at obtaining cryptocurrency. The Ministry of Finance noted that they had received proposals from the Bank of Russia on the introduction of a ban on the organization of the issuance and circulation of digital currencies. 

Last week it became known that the Central Bank proposes to ban not only the organization of the issuance of cryptocurrencies and their circulation but also the dissemination of information about them. Also, the Central Bank prohibits banks and other financial market participants from owning private digital currencies. 

In addition, on February 18, the Central Bank proposed to introduce fines of up to one million rubles ($12,700) for the issue of private cryptocurrency. If the bill is adopted, individuals may face fines in the amount of 300 ($3,800) to 500 ($6,300) thousand rubles, and organizations from 700 thousand ($8,800) to one million rubles ($12,700). 

Earlier, CySecurity News reported that the Kremlin and the Russian government have estimated the Russian cryptocurrency market at $214 billion.

The Ministry of Finance of Russia Named the Main Threat of Cryptocurrency Ban in Russia

Deputy Finance Minister Alexei Moiseev said that the ban on cryptocurrencies and mining could slow down the development of new technologies and services, lead to the outflow of highly qualified specialists abroad, and the loss of tax revenues. 
Mr. Moiseev recalled that the relevance of cryptocurrency regulation is due to the growing popularity of citizens' investments in such assets. 

"We need to create clear and transparent rules for the participation of citizens and businesses in the financial instruments of the crypto market. The concept provides for the traceability of cash flows and crypto transactions, as well as the identification of users," the official stressed. 

He added that the only legal participant in the crypto market will be banks and exchanges that will oblige to comply with all the requirements of anti-money laundering legislation. "As for investors, they will be divided into qualified and unskilled, that is, those who do not have the necessary knowledge in working with digital financial instruments," he recalled. 

According to him, clear regulation excludes the possibility of a parallel financial system appearing in Russia, introduces clear rules of the game for market participants, and creates tools to protect investors' rights. In the case of a ban, all of them could automatically become violators of the law, and these are millions of people. 

Last week, the Bank of Russia stressed that it was in favor of reducing the interest of Russians in the cryptocurrency market. Elvira Nabiullina, head of the regulator, noted that the concept of regulating digital assets, which was proposed by the Ministry of Finance and approved by the government, does not allow to mitigate the risks, which the Central Bank warned about. 

In January, the Bank of Russia published a report "Cryptocurrencies: Trends, risks, measures", in which, in order to reduce threats, it proposed to ban the issuance, mining and circulation of cryptocurrencies in Russia. The central bank proposed to introduce a ban on the organization of the issuance or circulation of cryptocurrencies on the territory of Russia, to establish responsibility for its violation. 

The concept of the Ministry of Finance provides for the regulation of cryptocurrencies in Russia without their prohibition. The Ministry believes that the complete absence of regulation or prohibition of cryptocurrencies will destabilize the industry, increasing the share of the shadow economy and the growth of fraud, and law enforcement will not be able to effectively respond to crimes using such instruments. 

At the end of January, Russian President Vladimir Putin called on the government and the Central Bank to come to a consensus on the regulation of cryptocurrencies and report on the results. So, by February 18, the Ministry of Finance, together with the Bank of Russia, should prepare a bill on the regulation of cryptocurrencies.

Russian Man and his Wife Arrested in U.S. for Stealing Record $4.5 billion in Bitcoins

Russian citizen Ilya Lichtenstein and his wife Heather Morgan were arrested in the United States on Tuesday. The U.S. Justice Department in a statement called them the largest Internet fraudsters in history. 

The spouses are suspected of hacking the Hong Kong cryptocurrency exchange Bitfinex in 2016 and withdrawing 120,000 bitcoins from its accounts, which is $4.5 billion at current prices. Intelligence agencies managed to confiscate $3.6 billion worth of bitcoins stored in the Russian's e-wallets. 

On Tuesday night, after the arraignment in the Court of the Southern District of New York, Magistrate Judge Debra Freeman decided to release the suspects on bail of $8 million for two. However, the spouses were unable to leave federal prison as the judge's decision was put on hold by Washington. 

According to the prosecution, the couple should remain in custody because "they are sophisticated cybercriminals and money launderers, and there is a serious risk of their escape." Prosecutors admit that the couple may have passports in other names. 

In particular, agents found a file named Passport_ideas on Liechtenstein's computer. And a plastic container with disposable phones was found under the bed in the apartment of the defendants. Under American law, Ilya Lichtenstein and Heather Morgan face up to 25 years in prison. 

A few years ago, 34-year-old Ilya Lichtenstein unsuccessfully tried to create a technology startup and become an investor. He came to the United States from Russia at the age of six, when his family was granted asylum for religious reasons. 

His wife, Heather Morgan, called herself an economist, a journalist, and a "Crocodile of Wall Street", was a freelance writer for Forbes magazine and even performed as a rapper under the name Razzltkhan. According to the New York Times, giant billboards with her image decorated Times Square. 

According to the investigation conducted by the FBI and the US Internal Revenue Service, Lichtenstein and Morgan hacked the Bitfinex protection system and made about 2 thousand illegal transactions, transferring funds from the accounts of the exchange's clients to their electronic wallet. 

In subsequent years, the suspects managed to launder about 25 thousand bitcoins through third-party exchanges and online services on the darknet. A new hearing on Lichtenstein and his wife's bail application will be held in Washington on February 11.

North Korea Stealing Millions in Cyber Attacks


A recent report of UN experts on cybersecurity threats has revealed that North Korea has not stopped stealing hundreds of millions of dollars from financial institutions and cryptocurrency organizations and exchanges. Illegally obtained money plays a very important role in North Korean nuclear and missile programs, U.N. experts said in a report quoting cyber specialists. 

The state-sponsored cybercriminals often use prevalent methods of attacks including phishing lures, malware, code exploits, and advanced social engineering to siphon funds out of these organizations’ internet-connected ‘hot’ wallets into DPRK-controlled addresses. 

The panel of experts has also said that according to an unnamed government, North Korean “cyber-actors stole more than $50 million between 2020 and mid-2021 from at least three cryptocurrency exchanges in North America, Europe, and Asia, probably reflecting a shift to diversify its cybercrime operations.” 

The experts further added that the “Cyber-actors stole a total of $400 million worth of cryptocurrency through seven intrusions into cryptocurrency exchanges and investment firms". 

The panel of experts monitoring sanctions on North Korea said that the cryptocurrency funds that have been stolen by the state-sponsored threat actors go through a very protective money laundering process in order to be cashed out.

A year ago, the panel quoted an unidentified country saying North Korea’s “total theft of virtual assets from 2019 to November 2020 is valued at approximately $316.4 million.” 

In the same year, North Korea had advanced its nuclear weapons and ballistic missiles even after United Nations sanctions. Further, for its funding, the state uses malicious actors' help and continues to seek material and technology overseas for its arsenal including in Iran, said, experts. 

“Cyberattacks, particularly on cryptocurrency assets, remain an important revenue source for the state government, and the experts are monitoring the implementation of sanctions against the North,” experts said in the new report.

The Moscow Kremlin and the Russian Government Have Estimated the Russian Cryptocurrency Market at $214 Billion


Bloomberg claims, citing its own sources that the Kremlin and the Russian government have estimated the Russian cryptocurrency market at $214 billion. This assessment is used during the development of a plan to regulate the industry. 

The volume of cryptocurrency held by Russians was calculated in January 2022 by analyzing the IP addresses of major cryptocurrency exchange users and other information. The agency writes that the estimate may be an underestimate because many traders hide their activities. 

In November 2021, the Central Bank of Russia estimated the annual volume of transactions of Russians with digital assets at $5 billion. The data were obtained based on the results of a survey of large banking organizations in July 2021. The Central Bank also noted that Russian users are among the most active participants in the digital currency market. Russia is among the leaders in the number of visits to digital currency exchanges. 

Later, during the parliamentary hearings, Anatoly Aksakov, head of the State Duma Committee on Financial Market, estimated investments of Russian residents in cryptocurrencies at $194 million. Aksakov stressed that unqualified investors are also interested in digital assets, so the authorities need to determine the position on digital assets and legislate it. 

It is interesting to note that on January 20, the Central Bank published a report for public discussion, in which it proposed to ban the issuance, circulation, and exchange of cryptocurrencies in Russia, as well as the organization of these operations. The regulator also considers it necessary to ban the mining of digital assets and start monitoring the investments of Russians in cryptocurrency on foreign trading platforms. 

However, after the Central Bank report, Deputy Prime Minister Dmitry Chernyshenko approved a roadmap on cryptocurrencies, which proposes the regulation of cryptocurrencies, rather than their prohibition, identification of customers, responsibility for illegal trafficking of digital assets, as well as the development of a methodology for assessing the value of cryptocurrencies. 

Representatives of the Ministry of Finance, the Ministry of Economic Development, the Prosecutor General's Office, Rosfinmonitoring, the FSB, the Ministry of Internal Affairs, the Federal Tax Service, the Ministry of Finance, and the Bank of Russia participated in the development of the roadmap. 

On January 26, Russian President Vladimir Putin called on the government and the Central Bank to come to a consensus on the regulation of digital assets. The Head of state said that he was familiar with the discussion concerning the regulation of cryptocurrencies. 

Earlier, CySecurity News reported that the Russian billionaire Oleg Deripaska criticized the Central Bank for allegedly “infantilely closing his eyes to the growing cryptocurrency market.” As an argument, the billionaire cited the actions of the US Treasury, which, according to him, invests in the crypto industry.