Bitcoin is a digital asset that only exists online. It’s often described as being like an electronic combination of cash and gold. Bitcoin is meant to be spendable like cash, but also able to hold a lot of value similar to gold. However, unlike cash or gold, Bitcoin is entirely digital.
It has become increasingly popular because it is easy to move large amount of money without going through the financial institutions and banks and also because of the peer to peer anonymity of the Network.
That being said, there has been a high demand for the need to trace bitcoins transfers and wallet addresses that have been used to carry out fraudulent or illegal transactions. In this article, I will explain to you how best you can go about tracing a bitcoin wallet or address.
The Bitcoin digital asset is very simple. Bitcoin is just a digital coin, often abbreviated to BTC. It’s like any other coin except it’s purely digital. These coins are gradually created over time, up to a maximum of 21 million. Each of these coins can be collected, traded and spent like money.
The Bitcoin network carries Bitcoin transactions. When you spend Bitcoin, it’s being carried to the recipient through the Bitcoin network and it keeps a record of all Bitcoin transactions ever made and records them in a digital ledger.
Understanding Bitcoin Traceability
All Bitcoin transactions are public, traceable, and permanently stored in the Bitcoin network. The Bitcoin transactions are contained in the blocks themselves and because they’re chained together the blocks can be easily processed in an organized fashion. This makes it easier for the Bitcoin network to keep a complete record of all the transactions.
Since it’s inception, Bitcoin has been thought of as an anonymous way to move money. Recently, however, a few firms have built software that can track the movement of coins and help law enforcement track illicit earnings.
Companies like Hacknetworkgroup a guild of hackers have been identifying wallets that are linked to criminal activity, such as Darknet transactions. With their blockchain analysis software and other online, public clues, they were able to link transactions to real identities. Another company that has used Blockchain analysis software is CHASESCAM. And as the name implies, they help investigate online scams linked to bitcoin scam and binary options recovery.
Why Would You want to trace a Bitcoin Address?
People want to trace bitcoins for different reason ranging from trying to get back your stolen coins to tracking criminal transactions and ensuring you’re dealing with a legit person when carrying out a business transaction that requires cryptocurrency payment of any kind.
How To Trace a Bitcoin Wallet
1. With block chain analysis software
Bitcoin addresses are the only information used to define where bitcoins are allocated and where they are sent. These addresses are created privately by each user’s wallets. This address is just a long string of numbers and letters, but each one is unique to the wallet. This pose privacy concerns of the network, as anyone can go in and view any transactions you’ve sent from that wallet. For example, you send coins from your personal wallet to your exchange wallet. The wallet on the exchange could be linked to your identity. This property of Bitcoin allows people to link wallets to real life identities. Companies like CHASESCAM, Chainalysis and CipherTrace have been able to link transactions to real identities.
2. Using Ip Address
Because the Bitcoin network is a peer-to-peer network, it is possible to listen for transactions’ relays and log their IP addresses. Full node clients relay all users’ transactions just like their own. This means that finding the source of any particular transaction can be difficult and any Bitcoin node can be mistaken as the source of a transaction when they are not. Also, you need professional cryptographers and hackers to help you with trace a bitcoin wallet to a real identity or person.
3. Using an Ethical Hacker
This is the easiest and surest method of getting the information of the individual behind any bitcoin wallet. Hacknetworkgroup is a guild of highly efficient developers, hackers and cryptographers. They use a combination of several methods including tracing IP address, monitoring transactions and building software and algorithms that can point them in the right direction. Though, this can only be done by very few people, I will be recommending you contact them for guaranteed result by sending an email to firstname.lastname@example.org