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The founder of layer-1 blockchain Jurat has defended his protocol against potential haters, arguing that on-chain legal enforcement is a necessary trade-off for crypto mass adoption.\u00a0<\/p>\n
On Aug. 8, a U.S. District Court used<\/a> Jurat\u2019s on-chain enforcement tool<\/a> to lock several sanctioned individuals out of their crypto accounts. These individuals were sanctioned for money laundering and using ransomware to extort cryptocurrency payments to benefit North Korea\u2019s weapons program.<\/p>\n A court just entered final judgment in a federal lawsuit and the court used @JuratNetwork<\/a> to enforce its order on-chain!<\/p>\n The judge enjoined Russian and North Korean hackers from accessing their accounts, making $JTC<\/a> the first cryptocurrency to comply with @USTreasury<\/a>\u2026<\/p>\n \u2014 Mike Kanovitz (@MikeKanovitz) August 8, 2023<\/a><\/p><\/blockquote>\n Speaking to Cointelegraph, Mike Kanovitz, the founder and CEO of Jurat said the judicial order was the first of its kind.<\/p>\n The Jurat blockchain was launched in late 2022, formed via a fork of the Bitcoin blockchain. The technology connects\u00a0blockchain nodes with court dockets to enforce court orders.<\/p>\n Kanovitz admits that such technology will likely garner criticism from die-hard supporters of decentralization.<\/p>\n \u201cSome people are going to claim to be philosophical purists and hate on it. I get that.<\/p><\/blockquote>\n However, the Illinois-based lawyer said such technology could bring the necessary due process protections for digital assets, which will be key to mainstream adoption.<\/p>\n “Some of the people who currently think that there should not be effective law enforcement on-chain would feel differently if they got hacked, defrauded, or lost their private keys. Then they would be relieved that they can recover their property,” he expla<\/p>\n In the first half of 2023, $656 million in cryptocurrencies were <\/a>lost to scams, hacks and rug pulls<\/a>, according to a June 30 report by blockchain security firm Beosin.<\/p>\n H1 2023 Web3 Security Statistics <\/p>\n Total losses from hacks, phishing scams, and rug pulls in Web3 reached $655.61 million in the first half of 2023. <\/p>\n Among them, \u2014 Beosin Alert (@BeosinAlert) June 30, 2023<\/a><\/p><\/blockquote>\n \u201cIt will not only tame the lawlessness that scares away would be adopters and draws the ire of government officials, it can unlock incredible utility for commerce,\u201d he added.<\/p>\n Related: <\/em><\/strong>MetaCourt\u2019s IDO launch: A paradigm shift in Web3 legal services<\/em><\/strong><\/a><\/p>\n Until now, courts have had limited means to effectively freeze and seize crypto funds. A common tactic has been to order centralized crypto exchanges to freeze funds or turn over identifying information of the suspect.\u00a0<\/p>\n However, the on-chain enforcement tool<\/a> works by connecting JTC\u2019s blockchain and software nodes with the user’s chosen court.\u00a0<\/p>\n During a lawsuit, each party provides the court with a competing hash for what that side wants the court to do. When a ruling is made, the court simply pastes the hash of the winning side, and the software nodes will execute the order autonomously once it accesses the online court docket.<\/p>\n Kanovitz said the tool currently only works in the United States, and only for the JCT blockchain. However, he hopes to bring JCT\u2019s technology into other Ethereum Virtual Machine-compatible blockchains in the future.<\/p>\n\n
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108 attacks -> $471.43M
Phishing scams -> $108M
110 rug pulls -> $75.87M pic.twitter.com\/8Q9kmDETfQ<\/a><\/p>\n