Russia is donating $ 200,000 to develop a tool for tracking crypto transactions

The Russian federal authorities are engaged on a plan to intently monitor cryptocurrency actions for unlawful transactions and to de-anonymize crypto customers.

The Russian Federal Financial Supervisory Authority (Rosfinmonitoring) has chosen a contractor to develop a platform for tracking cryptocurrency actions. According to information from Russia’s state procurement web site, the nation will allocate 14.7 million rubles ($ 200,000) from its finances to create a “module for monitoring and analyzing cryptocurrency transactions” in Bitcoin (BTC).

According to official info, the procurement contract was awarded to a firm known as RCO, which is to be not directly supported by Russia’s largest financial institution Sber, previously Sberbank.

According to the contractual doc, the RCO shall be tasked with constructing a monitoring tool to observe the motion of digital monetary property, preserve a database of crypto wallets associated to unlawful actions, and monitor the habits of cryptocurrency customers so as to establish them.

The platform may even be designed to create detailed profiles of cryptocurrency customers and assess their position in financial exercise and decide their chance of criminality. According to Rosfinmonitoring, the upcoming Russian crypto monitoring tool will enhance the effectivity of compliance and first monetary oversight, in addition to make sure the safety of finances funds.

Related: Russian lawmakers put together regulation amendments to seize cryptocurrencies

This newest improvement marks one other main milestone in Russia’s efforts to observe cryptocurrency transactions after Rosfinmonitoring introduced its “Transparent Blockchain” initiative to observe asset actions a yr in the past.

As already reported, the authorities are planning to “partially reduce” the anonymity of conversions with giant digital property corresponding to Bitcoin and Ether (ETH) in addition to cryptocurrencies and information protection-oriented units corresponding to Monero (XMR). Rosfinmonitoring initially introduced its plans to observe crypto transitions in August 2018.