During a Reddit Q&A session Tuesday, Microsoft founder Bill Gates warned that cryptocurrencies are literally killing people because they allow criminals to evade taxes and launder money from drugs, illegal financial transactions, and terrorism.
Gates thinks that the virtual coins are a bad invention since it keeps shady transactions hidden from authorities.
- He believes that the blockchain may do more than liberating people from oppressive governments.
- The technology may be behind thousands of deaths “in a fairly direct way,” according to Gates.
The tech billionaire is concerned about the anonymity of cryptocurrency transactions. He reminded Redditors that cryptocurrencies are killing people because they are often used to purchase fentanyl, an extremely potent drug that has led to many deaths.
I think the speculative wave around ICOs and crypto currencies is super risky for those who go long,
Cryptocurrencies are Killing People No More than Cash Does
The Microsoft founder might be right that cryptocurrencies’ anonymity encourages crime, but cash is also anonymous, and criminals have used various coins to hide their profits. Cryptocurrencies, on the other hand, can be transferred more easily than hard cash.
Plus, the successors of bitcoin seem to be even more crime-friendly than bitcoin as their creators strive to make them harder to track. And this is because law enforcement agencies have become more and more proficient at tracking down criminals that are using cryptocurrencies to hide their illegal activities.
Also, Gates is only partially right as criminals who smuggle firearms or drugs have to move the weapons or drugs around which can be easily tracked by the police. Also, law enforcement agencies can track illegal financial transactions involving cryptocurrencies by keeping an eye on exchanges where the digital coins are converted into cash.
Gates also said Tuesday that Apple should be building a security backdoor for law enforcement in the iPhone, because governments at some point might demand that by law.
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