FBI Needs a Dark Web, Crypto Strategy, DOJ's Inspector General Says

FBI lacks a "comprehensive strategy for addressing the cryptocurrency threat in the future," OIG wrote.

AccessTimeIconDec 17, 2020 at 6:29 p.m. UTC
Updated Sep 14, 2021 at 10:44 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

The Federal Bureau of Investigation (FBI) has a dark web-sized hole in its cyber crime strategy, according to the Department of Justice's chief watchdog.

  • The DOJ Office of Inspector General (OIG) told the FBI Thursday to develop a “dark web strategy” to better coordinate investigations of child and sex trafficking, drug, cyber crimes and weapons of mass destruction that intersect with the internet’s unindexable shadow layer.
  • FBI should also implement a “cryptocurrency support strategy,” OIG said. Bitcoin cyber crimes are rising annually ($100 million in bitcoin seized last year), so agents need better, broader, more accessible training on cryptocurrency.
  • Agents told the OIG they’re fearful the rising cost of analytics tools will outpace their shoestring crypto investigative budgets. They got just $1.5 million in direct funding for tracing tools in 2019 for products and training estimated at $4.2 million.
  • “The dwindling resources also shed light on FBI concerns that it had no comprehensive strategy for addressing the cryptocurrency threat in the future,” OIG wrote.
  • FBI is “in the process” of requesting up to $2 million to fund the consolidation of its crypto efforts, according to the redacted report. 

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.