Regulatory hammer strikes at money laundering 'rat trading'; the crypto world is not afraid of fire testing!
Brothers, Chile just set off a big firecracker! A group of 'international brigade' involved in cryptocurrency money laundering was taken down, amounting to 13.5 million USD! Sounds scary, right? Many newbies might panic: 'It's over, bad news! A big drop is coming!' Don't rush, let your Great Sage explain it clearly—this little splash won't even scratch the surface of the vast ocean of crypto!
Why is this called 'a lot of noise but little rain'?
Too little money, not enough to fill the gaps! 13.5 million USD? Sounds like a lot? Brother, what's the daily trading volume of Bitcoin? Hundreds of billions of USD! Throwing this little amount in won't even create a splash. It's like pouring a bottle of mineral water into the Pacific Ocean; can it cause a tsunami? The market will rise or fall as it should, without even raising an eyelid!
Chile's 'local action', what does it have to do with the world? This mainly showcases the regulatory muscle in that corner of South America, targeting local small gangs. They did not touch our mainstream exchanges or large institutions. Panic? No need at all! Those who should stock up continue to stock up, those who should dollar-cost average continue to invest.
Even if the market crashes, it can't shake the 'hard bones'! Even if the police throw away this batch of stolen coins, it will only cause a few unknown altcoins to shake a bit. Bitcoin and Ethereum, the 'hard bones', stand tall; this little wind and waves don't matter!
But is there really no splash at all? NO! In the long run, it sends a signal of a 'golden pit'!
The regulatory 'tightening spell' is being recited more frequently! This case serves as a wake-up call for global regulators: transnational money laundering, cryptocurrency is a channel! The result is:
Exchanges' KYC/AML will be stricter! In the future, registering might require filling out more forms and uploading more documents, don't be annoyed, it's for safety!
Countries will work together to catch 'rats' more harmoniously! In the future, on-chain tracking data sharing will make cross-border crime harder to hide! Think about the FATF anti-money laundering standards; it may become a global standard.
'Anonymous coins'? Be careful, they may become 'target coins'! What’s the most ruthless move in this case? It publicly slaps the rumor that 'cryptocurrency = absolute anonymity'! The police used on-chain analysis to check wallet addresses and track fund flows, exposing the criminals' wallets completely! Blockchain is a public ledger; want to be completely invisible? No chance! Those coins that claim 'absolute privacy', like Monero and Zcash, are under immense pressure! Exchanges are afraid of trouble and may directly delist them! Want to play with privacy? In the future, you'll need to find compliant 'selective disclosure' solutions; otherwise, get ready to turn into 'zero coins'!
Case in point: 'Is the crypto world a paradise for money laundering'? P! Previously, there were always haters saying 'cryptocurrency is just a tool for money laundering'. This case in Chile slaps them in the face! It proves that blockchain can't launder money but is a tool for catching bad guys! The flow of funds is crystal clear; want to run? No way! This is much faster than traditional banks auditing!
Historical case: The astronomical Bitcoin stolen from Bitfinex in 2021 was eventually traced by the FBI, seizing 3.6 billion USD. Did the price collapse? No! It actually proves that on-chain tracking is impressive!
Great Sage's personal bold statement: The harsher the regulation, the steadier the bull market!
Brothers, don't get weak at the mention of 'regulation'! This precise strike against criminal networks is not bad news; it's a super good thing! Why?
Clean up the trash! Get rid of the 'rat droppings' using the crypto world for illegal activities, making the market cleaner!
Set rules! Let regulatory authorities clearly see that compliant exchanges and legal projects are the mainstream! The clearer the rules, the more traditional giants like Grayscale and BlackRock will dare to enter the market!
Prove innocence! Declare to the world: Cryptocurrency is not a lawless land, but a new asset under the sun! Breaking the bias will bring in more substantial liquidity!
Who will be the next target of regulatory heavy blows?
Chile's strike is just the 'starting whistle' of the global regulatory storm! Brothers, keep your eyes wide open and watch:
Will the next 'Monero-style' privacy coin be collectively abandoned by major exchanges?
Will the 'new anti-money laundering regulations' jointly formulated by various countries be finalized at the G20 summit?
South America is already moving; will neighboring Brazil and Argentina quickly follow suit?
Follow the Great Sage, in the next issue we will delve into: global regulatory 'encirclement' of crypto crime, which track is the most dangerous? Which direction hides gold? See you in the comments! Don't forget to like and share, so more brothers can see the truth and not be cut down by the 'money laundering panic'!