Auditing Bitcoin: Ensuring Transparency and Security

C. H. Amarendra, A. Sri Sai Deepak Reddy, K. Shanmukha Sai Kumar Reddy, A. Phani Sridhar

2025

Abstract

Bitcoin, a revolutionary cryptocurrency, has reshaped the financial landscape with its decentralized architecture and cryptographic security. While this decentralization offers numerous advantages, it also presents challenges in ensuring transparency and accountability within the Bitcoin ecosystem. This research delves into the critical role of Bitcoin auditing in maintaining the integrity and security of Bitcoin transactions. By analyzing transaction patterns, sender-receiver addresses, and other relevant data, auditors can validate the authenticity and compliance of these transactions. This process is particularly crucial for law enforcement agencies, as it enables them to trace the flow of funds, identify potential criminal activities, and gather evidence for investigations and prosecutions. In this study, we examine and evaluate a dataset of Bitcoin transactions obtained from an online source. By employing specialized forensic and blockchain analysis tools, we meticulously scrutinize the transactions for authenticity, integrity, and adherence to regulatory standards. Our analysis focuses on tracing the flow of funds, verifying transaction details, and identifying any anomalies or potential risks. The broader implications of Bitcoin auditing, including its potential to enhance the overall security and reliability of the Bitcoin ecosystem. By addressing concerns related to transparency, accountability, and regulatory compliance, Bitcoin auditing can contribute to the long-term sustainability and widespread adoption of this groundbreaking technology.

Paper Citation

in Harvard Style

Amarendra C., Reddy A., Reddy K. and Sridhar A. (2025). Auditing Bitcoin: Ensuring Transparency and Security. In Proceedings of the 1st International Conference on Research and Development in Information, Communication, and Computing Technologies - ICRDICCT`25; ISBN 978-989-758-777-1, SciTePress, pages 491-495. DOI: 10.5220/0013900500004919

in Bibtex Style

@conference{icrdicct`2525,
author={C. H. Amarendra and A. Reddy and K. Reddy and A. Sridhar},
title={Auditing Bitcoin: Ensuring Transparency and Security},
booktitle={Proceedings of the 1st International Conference on Research and Development in Information, Communication, and Computing Technologies - ICRDICCT`25},
year={2025},
pages={491-495},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0013900500004919},
isbn={978-989-758-777-1},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on Research and Development in Information, Communication, and Computing Technologies - ICRDICCT`25
TI - Auditing Bitcoin: Ensuring Transparency and Security
SN - 978-989-758-777-1
AU - Amarendra C.
AU - Reddy A.
AU - Reddy K.
AU - Sridhar A.
PY - 2025
SP - 491
EP - 495
DO - 10.5220/0013900500004919
PB - SciTePress