What Makes AML BitCoin Theft Resistant?
Multiple features will contribute to AML BitCoin’s theft resistance, including:
- Compulsory multi-factor authentication
- Identity-linked cryptocurrency address for receiving and sending AML BitCoin
- Privately regulated public blockchain
Compulsory multi-factor authentication
- The AML BitCoin transaction system will employ a multi-factor authentication for every AML BitCoin transaction.
This compulsory multifactor authentication will require a credential for identity proof, a sender’s private key for signing a transaction, and NAC’s private key for signing a transaction.
- As this multifactor authentication will be compulsory, this will increase the security level for protection from theft.
In contrast, most cryptocurrencies, such as Bitcoin, only require one private key from a coin holder for signing a transaction. Hackers can easily steal the private key of a targeted account through hacking the coin holder’s computer devices. A cryptocurrency user (e.g. Bitcoin user) may use a multisignature wallet to increase the security level. However, cryptocurrency users usually are reluctant to do so. Furthermore, none of the multisignature wallets on the market requires identity proof.
Identity-linked AML BitCoin address for sending and receiving AML BitCoin
- The anonymous nature of Bitcoin as well as other cryptocurrencies such as Ether allows hackers to steal the cryptocurrencies without being identified. For example, anyone, including hackers, can create an anonymous Bitcoin address to receive Bitcoin.
- In contrast, NAC’s proprietary technology (patent pending) will only allow people who have their identities verified to possess any AML BitCoin address.
- If a hacker attempts to steal any AML BitCoin, the hacker must first have an AML BitCoin address for receiving any stolen AML BitCoin.
- If there are any AML BitCoin addresses that have been used to receive the stolen AML BitCoin, NAC will easily be able to identify the owners of those AML BitCoin addresses and track where the stolen AML BitCoin has gone.
- Those identity-linked AML BitCoin addresses will also allow NAC to trace and track any person who is using AML BitCoin in financing any illicit activities, such as money laundering.
Privately Regulated Public Blockchain
- The AML BitCoin transaction system will involve a privately regulated public blockchain (patent pending).
- The major difference between the privately regulated public blockchain and the typical public blockchain (e.g. Bitcoin blockchain) is that NAC will be able to suspend any AML BitCoin transaction and/or stop operation of any AML BitCoin account when necessary. In contrast, for those cryptocurrencies (e.g. Bitcoin) involving a typical public blockchain, no one can suspend any cryptocurrency transaction and/or stop operation of any cryptocurrency account.
- Once NAC has identified any AML BitCoin addresses that are used to receive any stolen AML BitCoin, NAC will immediately suspend/reverse any subsequent transactions of the stolen money and stop the operation of those associated AML BitCoin account. This will allow NAC or government agencies to help recover the stolen money for the victims.
Moreover, NAC’s privately regulated public blockchain technology will allow NAC to suspend/reverse any AML BitCoin transactions and stop the operation of any AML BitCoin accounts that involve the use of AML BitCoin in financing any illicit activities, such as money laundering.
These special features will be included in the finalized AML BitCoin. These features may be enabled on the AML BitCoin Token.