BIS Researchers Propose Cryptocurrency Scoring System to Combat Illicit Activities

According to PANews, researchers from the Bank for International Settlements (BIS) have proposed a new scoring system based on individuals' cryptocurrency transaction histories. The system aims to assign scores to cryptocurrencies that have been involved in transactions through wallets linked to criminal suspects or protocols commonly used for money laundering. Countries could establish threshold scores to determine whether users can convert these cryptocurrencies into fiat currency. The proposed system targets tokens associated with illegal activities while striving to preserve the permissionless nature of blockchain technology without collecting user data.