A breaking report in The Intercept uncovered that the largest cryptocurrency exchange Coinbase is selling Immigrations and Customs Enforcement (ICE) the tools which allows the agency to identify and track cryptocurrency users.
Coinbase markets their platform for private and public entities to “investigate illicit activities including money laundering and terrorist financing”. The tracer would allow users, in this case ICE, to trace transactions which are typically difficult to identify the parties involved. ICE now has the ability to identify the identity of users who transact in twelve cryptocurrencies including Bitcoin, Ether, and Tether.
The contract between ICE and Coinbase is yet another example of capitalist, profit-driven companies forming close relationships with government agencies to further their collective interests. Coinbase benefits from the revenues generated from the sale and the ICE will now have greater tools to identify and potentially take punitive actions against the most exploited workers.
It is entirely incorrect to assume that the interests of capitalist firms and the government and its agencies are in conflict. In fact, the government represents the interests of the national bourgeoisie and acts in a manner that is favorable to them. Thus it should not be surprising that ICE is using taxpayer funds to subsidize the profits of a cryptocurrency firm while simultaneously intensifying the agency’s chauvinistic and nationalistic anti-immigrant campaign.