The Calgary police department has teamed up with blockchain data firm Chainalysis to launch a Cryptocurrency Investigations Centre
The joint task force will be aimed at tackling the growing problem of cryptocurrency-related crime in western Canada. The center, which was officially launched on April 12, will provide officers with around-the-clock support and augment their training programs with private sector expertise from Chainalysis.
According to Chainalysis, Canada has seen a significant increase in cryptocurrency adoption rates, with a nearly 213% increase since 2019 as of January 2023.
However, this rapid growth has been accompanied by a rise in crypto-related crime, with more than $41 million in funds lost to cryptocurrency scams in Canada in 2022 alone. The company notes that “for every 1,000 Canadians, there was at least $1,144 CAD in total exposure to illicit crypto activity” in the same period.
Chainalysis co-founder and chief strategy officer Jonathan Levin said that the partnership with the Calgary police department “is a model that the rest of the world can learn from” and that the company intends to eventually “scale this concept globally, working with law enforcement personnel around the world to offer bespoke, customized offerings depending on the unique needs of the region at hand.”
The Western Canada Cryptocurrency Investigations Centre is a step towards addressing the growing concern of cryptocurrency-related crime, which has become a significant problem worldwide.
Criminals are increasingly using cryptocurrencies for money laundering, ransomware attacks, and other illegal activities, taking advantage of the relative anonymity and lack of regulation in the industry.
The center’s establishment marks a significant milestone in public-private partnerships to combat financial crimes related to cryptocurrencies.
The collaboration between law enforcement agencies and private firms can help improve the effectiveness of investigations, increase awareness about the risks associated with cryptocurrencies, and promote regulatory compliance.
The Calgary police department’s decision to partner with Chainalysis is a strategic move that will help them stay ahead of the curve in tackling cryptocurrency-related crime. With the expertise of Chainalysis, they can improve their understanding of blockchain technology and use it to track criminal activities more effectively.
The next steps for the Western Canada Cryptocurrency Investigations Centre include expanding the program to serve more law enforcement agencies in western Canada.
The long-term goal is to scale the concept globally and work with law enforcement agencies worldwide to provide customized offerings tailored to the unique needs of each region.
Calgary Police Chainalysis
In conclusion, the establishment of the Western Canada Cryptocurrency Investigations Centre is a positive step towards tackling cryptocurrency-related crime. Public-private partnerships like this one are essential in addressing the challenges posed by the crypto industry and can help promote transparency, accountability, and security in the financial system.