Bitcoin is a good price

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3 years ago

A leading cryptocurrency researcher has been arrested after travelling to North Korea for a secretive conference about blockchain technology.

US law enforcement charged Virgil Griffith under the International Emergency Powers Act for allegedly providing technical advice on how to evade international sanctions using cryptocurrency and blockchain technology.

The Department of Justice claimed Mr Griffith travelled to the reclusive state in April 2019 to speak at the Pyongyang Blockchain and Cryptocurrency Conference.

"Mr Griffith allegedly travelled to North Korea without permission from the federal government, and with knowledge what he was doing was against the law," said FBI assistant director-in-charge William Sweeney.

"We cannot allow anyone to evade sanctions, because the consequences of North Korea obtaining funding, technology, and information to further its desire to build nuclear weapons put the world at risk. It's even more egregious that a US citizen allegedly chose to aid our adversary."

Bitcoin's volatile history in pictures

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On 3 January, 2009, the genesis block of bitcoin appeared. It came less than a year after the pseudonymous creator Satoshi Nakamoto detailed the cryptocurrency in a paper titled 'Bitcoin: A peer-to-Peer Electronic Cash System'

On 22 May, 2010, the first ever real-world bitcoin transaction took place. Lazlo Hanyecz bought two pizzas for 10,000 bitcoins – the equivalent of $90 million at today's prices

Bitcoin soon gained notoriety for its use on the dark web. The Silk Road marketplace, established in 2011, was the first of hundreds of sites to offer illegal drugs and services in exchange for bitcoin

On 29 October, 2013, the first ever bitcoin ATM was installed in a coffee shop in Vancouver, Canada. The machine allowed people to exchange bitcoins for cash

North Korea has shown considerable interest in cryptocurrency in recent years, which offer a way to evade crippling economic sanctions.

estimated that North Korea has amassed more than £500m worth of bitcoin and other cryptocurrencies to support its regime.

April's conference was the first time the country had hosted such an event, though foreign media was banned from attending. Citizens of Israel, Japan and South Korea were also not welcome.

US Assistant Attorney General John Demers claimed that Mr Griffith provided "highly technical" information to North Korea, knowing that it could be used to launder money and evade sanctions.

"Despite receiving warnings not to go, Griffith allegedly travelled to one of the United States’ foremost adversaries, North Korea, where he taught his audience how to use blockchain technology to evade sanctions," Mr Demers said in a statement. "By this complaint, we begin the process of seeking justice for such conduct.”

Several high-profile figures within the cryptocurrency industry have expressed their support for Mr Griffith, including ethereum founder Vitalik Buterin, and cybersecurity pioneer John McAfee.

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