People are using bitcoin’s system to share child pornography, researchers say

German researchers have found about 1,600 files of non-financial data, some of which link to or contain child pornography and other objectionable material, on the system that stores bitcoin transactions.

The discovery could place certain users of the bitcoin network in legal jeopardy, the researchers said, and could pose an obstacle for greater adoption and mainstream acceptance of bitcoin and other cryptocurrencies. Bitcoin “miners” and people who have volunteered to use their computers to maintain the network may be liable for the possession of illegal content, the researchers said. But people who own and trade bitcoin but don't participate in the bitcoin network are not directly affected.

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