It's obvious that cryptocurrency and its peer-to-peer network brings great benefits to users while ensuring transparency and security. It public blockchain records information of all transactions made, including identifiable account numbers, transaction dates, and conversion rates.

See also: Blockchain application in E-commerce

However, due to the fact that it can be used in money laundering, rarely a country would recognize cryptocurrency as a fiat currency. Allegations of using a tether to manipulate Bitcoin prices are one of the evidence against the cryptocurrency.

Malware mining software

Accompanying the emergence of innovative technology is new issues. Ransomware is a common type of malware in recent years. What Ransomware does is similar to kidnapping the files, locking it by encrypting, and unlocking only after received a ransom. A report from Skybox Security has confirmed that the number of hacks related to ransomware has declined sharply after people refuse to pay to decode their files. Nevertheless, those who are victims of this malware would never have their files decoded.
See also: Blockchain application in Law

The rise of cryptocurrencies in the first half of 2017 has created a major problem called "crypto jacking". The malware hidden inside crypto-related websites has turned users’ CPUs into mining tools. This malware is hard to detect as it only shown in the tasks manager, therefore, creating a perfect hideout for Crypto-jacking. The statistics from Coindesk show that 32% of hacks in the first half of 2018 are crypto-jacking, far more than the number 7% of 2017.

Money laundering is easy

Thomas Mario Costanzo, a resident of Arizona, was arrested with five alleged related to money laundering. Last March, Constanzo was sentenced with money laundering (80 bitcoin or about $164,700).

Mario might not have to waste a few years of his life in jail if one had told him about Monero.

Monero, acknowledged by its great anonymity for users, creates a favourable environment for money laundering. When the transactions are made and recorded in this network, no information related to users are attached to them.

Money laundering is often controlled by tracking the account number in a transaction to an I.P address, which may expose the user or the owner of the computer. But with Monero, there are no account numbers to track. CypherTrace, a network security firm, reported a rise of 300% of Monero demand in 2018, measured by the amount stolen from the exchange. Only in 2017, about $250 million in Monero has been stolen. The number rose to$750 million in the first two quarters of 2018.