[Cryptography] On the 'regulation proof' aspect of Bitcoin

[John Levine]

>> could switch back to that in a minute.  Keep in mind that the victims
>> have a perverse incentive not to rat out the mules since if the mules
>> don't collect the payment, they don't get an unlock key.
>
>Collecting cash via BitCoin requires no infrastructure. Using mules is
>much more complex and a lot riskier.

Collecting bitcoins requires no infrastructure.  Turning the btc into
actual money, maybe and maybe not.  Depending on how sophisticated
the crooks are it might be possible to identify them by following
the transactions and see where they spend the loot.

>Mules take time to recruit. ....

All true but it's basically a cost of doing business.  I expect
ransomware is profitable enough to support a lot of transaction costs,
particularly if they can continue bulk infections of institutions like
the hospital in California and demand five or six figure rather than
$300 ransoms.

R's,
John