Bitcoin Tracing – Everything you need to know

Bitcoin Tracing seems complicated for people that are not familiar with the blockchain technology. The way the masses are misinformed about this digital currency is in many ways surprising and in some instances outrageous too. Bitcoin certainly is the biggest virtual currency and the market cap it has is unparalleled in the sector. Both retail and institutions are using this token for payments and the changes it can bring to the financial world is enormous.

However, in the beginning due to the lack of clear understanding about the blockchain protocols, many people lost millions of dollars to scammers and that brings us to today’s topic which covers the ways of tracing this digital currency.

Till date, it is estimated that millions of dollars are lost to either skilled hackers or to outright frauds, but slowly the balance in power is shifting and as the word spreads, this space really has the potential to be the safest one out there. If you have lost money to any kind of scams via bitcoin, then the following content will be very helpful for you. In case you have any questions that are not covered in this post, then comment below and we will get back to you as soon as we can.

Bitcoin Tracing

Is Bitcoin really anonymous?

Bitcoin is a decentralised form of payment mechanism. However, it really is not as anonymous as one might think. Many people fear this currency as it is more transparent compared to the traditional way of moving money. The data regarding every transaction done via this coin will be stored in blocks and anyone that has the address information can easily track the flow of funds without any kind of hassles.

Though, there are ways to hide money in this space, it will eventually have to come to light when the culprits change the coin for fiat currencies such as the dollar or the pound. The difference between being anonymous and decentralisation is huge, but for some reason many people do not know the fundamentals of it.

Nonetheless, if you have experienced any kind of online hustles, then surely the funds are retrievable, but the only thing is you need to act fast in order to increase the odds. 

How to trace Bitcoin?

This is a very popular question in the crypto niche and everyone at a certain level is interested in it. First and foremost, the main thing necessary to start the investigative process is the address of both the sender and the receiver. Remember, blockchain is extremely transparent and also efficient and that means even if the criminals bounce the transaction from different wallets, at the end, they won’t be able to hide for long.

Once the address is gathered, the recovery experts or the concerned authority will look at the blockchain series to figure out where the funds have been moved. Eventually, as the funds have to be parked somewhere, the end destination can be figured out and it is just a matter of time. Lastly, when the culprit tries to withdraw the funds, the princess of racing will become much easier and after a little bit of paperwork, every data will be available.

In case, if the scammer uses tumbler service, then sophisticated forensic tools are required, but in the end, even those kinds of transactions are traceable. Law enforcement agencies simply do not have enough time to look into every transaction, but if the victims hire a recovery agency, then in most cases they will be able to fully get the funds back.

Things to Know

There are few things you need to know about the cryptocurrency space especially if you are new to this segment of finance. Keeping your wallet safe is not the only step you need to take. Go through the following section carefully so that you get a grasp of the landscape and it will show you the best practises you need to incorporate. 

Get in touch with our affiliated Cryptocurrency Forensic Specialists at CNC Intelligence for free by filling out the form below.

    Traceability Aspect

    Like we mentioned before, all of the transactions made via bitcoin are easily translatable and the only missing piece to the puzzle will be the wallet address. Many hackers have tried to bounce transactions at least dozens of times before heading for checkout, but thanks to the current level of technology, only few of them have been successful.

    So, never assume that Bitcoin is the free ticket to buy or sell anything without paying taxes and it is safe to assume that it is in many ways better than fiat currency as far as tracing is considered. The main reason as to why the public are losing their cryptocurrencies is due to their lack of knowledge and nothing else. If the masses gain better understanding before getting involved with this world, then scams indeed are going to be a thing of the past. 

    New Addresses

    Bitcoin wallets can generate numerous addresses and for safety reasons it is better to generate new addresses for every transaction. If you are donating to charities, then it is okay to use the same address to make payments. However, for other kinds of payments, it is in your best interest to stick with new addresses.

    As generating new addresses is both easy and free, there is literally no reason to compromise in this area. Remember, there is nothing wrong with using one single ID over and over again, but it might make it easier for other entities to keep any eye on your spending habits, finances, etc,.

    Public Outlets

    Free wifi is available almost everywhere in most developed countries. People casually use the free wifi spots without realising the danger, though most wifi’s are secure, the same cannot be said about everything. If you are creating a new bitcoin address or wallet using public wifi, then be careful and make sure the details are encrypted.

    IP should be masked at all times and never run or download anything without knowing the source. Malware is an extremely sophisticated line of codes that are sneaky and very hard to detect and it can put all of your information at risk. So, be aware and for best experience and to make tracking difficult, always use a VPN service. 


    Tumblers are a program that are designed to prevent authorities from tracking the dirty cryptocurrency. As always criminals had to come up with this kind of software to tackle the traceability issue. Tumblers are usually accessible through dark web or deep web only and it basically helps criminals launder their cryptocurrencies.

    For a long period of time, everyone thought tumblers made it impossible to track the people operating outside the boundaries of law. However, thanks to the efforts put in by many agencies, loopholes in the software were detected and they are not made public for obvious reasons. Now, this kind of code can only delay the process and rarely the culprits might manage to flee, but generally speaking, they will be caught and justice will be served. 

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    Why is VPN useful?

    VPN stands for Virtual Private Network. It creates a direct tunnel between the users and the website they are trying to view and this kind of approach prevents things like snooping, geographical restrictions, etc,. Nowadays, many VPNs encrypt the data and it makes it difficult for anyone to spy the activity of the users.

    If you want to create a bitcoin wallet or make any purchases through it, then we suggest you make use of VPN to enhance your security to the maximum level. Moreover, there are loads of options available and most of the good ones are free. 

    Can Criminals really hide?

    From the early 2013, criminals were actually one of the early adopters of this form of payment. It enabled them to move funds with ease and the available technology was not good enough to stop them. Moreover, decentralisation made it impossible for anyone to interfere with the transactions too. Now, forensic tools available are game changers and any information can be found out with the help of computers by a skilled group of investigators.

    The tide is definitely switching sides and within a few short years the way this sector works is going to be better than the fiat alternatives. So, definitely the days of criminals abusing this form of technology are numbered and they won’t be able to stay active for long. Though, we strongly believe that they will find some other way to carry on their activities, it certainly does not look like they will ever be able to do it in a completely anonymous manner. 

    Bitcoin Tracing Bottom line

    Bitcoin Tracing is feasible and possible. More importantly, it is quite easy if you are sticking with the right crowd. Retail investors flooding this sector is huge and naturally, it prevents authorities from looking into each and every incident. Regulators are creating awareness and they are also doing their best to issue warnings about the latest trends.

    Unfortunately, despite the efforts of people at the top, the crowd are still misinformed and looted. If you need Bitcoin tracing service or if you want to recover money from online scams, then use the contact form to communicate directly with our experts.

    We do not only offer free consultation instead all of our services are free and we will personally do whatever it takes to get your money back. So, let us know your queries and you can expect the reply within the next 48 hours. 


    Below are the most common questions we get about bitcoin tracing. 

    How to trace Bitcoin?

    All the transactions are stored in a ledger and the only piece of information necessary to assess the flow of funds is the criminal’s wallet address. The tracing part is quite easy and people that have enough tech skill can conduct the activity on their own.

    However, they might need help when it comes to taking action and the legal costs involved might be too high to justify the actions. Eitherway, bitcoin is traceable, but the complexity might vary from one incident to another. 

    How to trace a bitcoin wallet?

    Bitcoin wallets cannot be traced per se. On the flip side, the address generated by the wallet can be traced and as people have to do some form of KYC, during the time they checkout or convert the coins to fiat currencies, the culprits can be caught. Note that to take any action, a lot of legal work needs to happen and it might take some time to get a green light from the paperworks. 

    Why Bitcoin cannot be traced?

    This question is asked often by the newbies, but they are fundamentally misinformed on this one. Bitcoins are always traceable and anyone that says otherwise is most likely either a stranger to the blockchain technology or they simply do not know the way it works. 

    Can Bitcoin purchases and payments be traced?

    Absolutely, generally, the tracing of bitcoin purchases or payments does not take more than a day. Bouncing from different wallets and addresses can prolong the investigation process, but it does not put an end to it. 

    Can you trace a Bitcoin account?

    ,As opening a bitcoin account is both free and easy, it is quite hard to trace a bitcoin account unless more solid metric or information is found associated with the account. However, once a transaction detail is available, plotting the curve and figuring out the end receiver will not be a big task.

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