DARPA has tasked an analytics company with creating a cryptocurrency mapping tool.
The Defense Advanced Research Projects Agency (DARPA) has awarded Inca Digital a Phase II Small Business Innovation Research (SBIR) contract to create a “cryptocurrency ecosystem mapping tool.”
As a result of the contract, the United States government and the private sector will be able to:
- Perform cross-market, crypto-financial mapping and analysis
- Understand relationships between digital asset firms and non-digital asset entities
- Identify how cryptocurrency may affect traditional financial systems and vice-versa
- Provide insight into the use of blockchain-based technologies linked to money laundering, terrorist financing, and sanctions evasions across systems (e.g., fiat-to-exchange, exchange-to-blockchain, and cross-blockchain transactions)
- Better understand money flows in and out of blockchain systems
- Identify where recipients of cryptocurrency can exchange it for local fiat currency, or goods and services, globally.
- Understand how cryptocurrencies are used in different U.S. government/Department of Defense areas of responsibility
“Digital asset markets hold amazing promise, but also contend with money laundering, market manipulation, and state actors that may pose risks to U.S. national security,” said Adam Zarazinski, CEO of Inca Digital. “Given the increasing prevalence of digital assets, the Department of Defense and other federal agencies need to have better tools to understand how digital assets operate and how to leverage their jurisdictional authority over digital asset markets globally.”