«The real innovation for Lugano would be to focus on crypto security.»
On Thursday evening, the presentation of the «Lugano PlanB» had a significant impact on the media. Various foreign newspapers spoke of Lugano’s desire to become the «European Capital of cryptocurrencies», and described as completely innovative the collaboration between the City and Tether, the crypto giant that wants to provide support in Ticino, including a fund for start-ups and finance 500 scholarships in collaboration with USI, SUPSI and Franklin University. It is a sector, that of the bitcoin and blockchain, considered strategic by Lugano. But there are those who urge caution, who argue that Lugano should tread lightly and those who, like the head of the Service of computer forensics at SUPSI Alessandro Trivilini, maintains that Lugano should take an extra step. That cryptocurrencies are effectively an interesting sector, but that the City could broaden the discussion somewhat. This is exactly why, after the « Plan B « presentation, we requested his opinion.
«Crypto is no longer innovation»
«I do hope that mine will be interpreted as constructive criticism. To launch the message that Lugano will become the European Capital of cryptocurrencies may generate negative consequences and attract the attention of those who, at an international level, use these technologies for illicit purposes». It is essential to prevent Lugano from being turned into an Eldorado for criminals who use digital money to avoid being traced. In other words, Trivilini believes that it would be more innovative to develop Lugano into the capital of safe cryptocurrencies rather than the capital of cryptocurrencies.
«Crypto and blockchain are no secret anymore. They’ re not the innovation. They’ve existed for 14 years.» And other cities and regions (including Swiss ones: think Zug) have been focusing on their development in recent years. And the experience has not always been positive. «In Zug,« explains Trivilini, «now the entire sector has compressed a little. So Lugano, in order to break free, would have to go further. «What this PlanB is missing is infrastructural investments in security, data protection and speed, and liability management in the event of a cyber incident.» Investments in security and data protection. «Investments that are needed to integrate this technology, which is already mature, into the fabric of the economy.» In the opinion of the expert, Lugano should ensure that there are protection plans for incidents in the region. «This is also from a point of view of accountability. We are in the era of cyber attacks and we also need to invest in having the ability to reconstruct what happens during an incident.
Understanding where the assets went, who moved them and exactly how they did it.» A discourse not only referring to companies that handle cryptocurrencies and blockchain. «If you focus on the widespread use of cryptocurrencies, the discussion expands. It will in fact be possible to pay taxes in cryptocurrencies or receive salary in cryptocurrencies. But what happens if, during these transactions, an accident happens? It is necessary that there are those who are able to reconstruct the chain of events to safeguard companies and citizens who decide to use cryptocurrencies.»
«It’s 75% of the truth»
However, supporters of cryptocurrencies say that, in comparison to cash, digital money is safer and more transparent. Also because transactions - via blockchain specifically - leaves a cyber trail. «This is 75% of the truth. The remaining 25% is represented by the fact that you also have to collect, read and aggregate blockchain data. It can be complex and expensive. But that is exactly the context that Lugano should focus on.» It is also what is being done by Trivilini and his computer forensics team. «It’s also relevant from a judicial perspective, because if a crime is committed, evidence needs to be provided.» But there’s another aspect. «We live in a society where the presumption of guilt is increasingly valid rather than the presumption of innocence. If you want to deposit cryptocurrencies in the bank, it is important, in order to avoid that they are corrupted or proceeds of crime, to make controls; to demonstrate that they are clean». And forensic analysis of the blockchain is not a simple matter.