Amazon gets a patent on tracking Bitcoin transactions with the subsequent sale to the government

Amazon gets a patent on tracking Bitcoin transactions with the subsequent sale to the government

In 2014 Amazon has filed a patent application on the creation of a market for streaming media that will allow you to obtain online data to analyze and combine them with data from other sources, and then sell the results in the form of the finished product. This is a very generalized idea, but one of the articles in patent documents may seriously affect the cryptocurrency.

The patent issued to Amazon this week, describes a method that parses the Bitcoin blockchain to correlate transactions bitcoin addresses with people who have created them, and then sells the result, telecommunication service providers or government agencies. The clause in question described below:

“Technology, streaming Analytics can provide vast amounts of data with minimal delay. However, the raw data will have little value (or have less value than could have), until then, until they are improved by their correlation with additional data, for example, a comparison of the records with shared values.

In some cases, the need to correlate additional data may be located in different places and belong to many subjects or owners. Because the data of each of these objects are correlated and combined with raw data, the data stream may become more valuable.

For example, a group of retailers that accept bitcoins, you know the shipping address, which can be correlated with the bitcoin address. Online retailers can combine the delivery address with the data of bitcoin transactions to create related data and rewrite them into a combined stream. Group Telecom providers can also link data to be able to correlate IP addresses with countries of origin. Government organizations will have the opportunity to tie information and tax data to identify the parties of transactions.

In addition, law enforcement agencies can obtain information about bitcoin transactions and the data ISP to determine the IP addresses and shipping addresses. Law enforcement agencies will not need additional information, for example, Bank statements. The streaming media market will set the price of the necessary data in gigabytes, and the police will be able to begin processing data with the use of analytical module.”

Most of the modern technologies that we take for granted, such as the Internet, was created before there is a threat to data security. Bitcoin never set myself a main goal the provision of anonymity, and this is one of the first technology, which is based on security. His cryptography and the decentralized nature is one of the main features.

If you try, you can trace bitcoin transactions back to those who created them. However, the development of a system whose sole purpose is the exposure of users of cryptocurrencies before government agencies, it seems, goes against the very idea of Bitcoin.

Another strange detail of this patent is that, although Amazon has bought some of the domains associated with cryptographic names, they still do not accept the cryptocurrency. Given that the patent application was filed in 2014, Amazon is, of course, has long been interested in this niche.

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