The UK government has become more interested in the cryptocurrency market. In fact, it has been reported that the government has asked the Government Communications Headquarter (GCHQ), which is the country's spy agency, to closely monitor bitcoin.

The GCHQ was actually founded in 1919 and is well-known for its role in deciphering German communications during World War II. However, the GCHQ also drew some criticism after it has been claimed that the agency hacked smartphones and collected information on Internet users. The allegations were made in the Snowden documents.

The GCHQ's interest in bitcoin came after the cryptocurrency's growth

This is not the first time when the GCHQ has taken an interest in bitcoin and the cryptocurrency market. In fact, ever since bitcoin started to get more attention and more success on the market with its fast growth, the cryptocurrency has become a main area of interest for the agency. And now the GCNQ is officially looking into bitcoin.

The Deputy Director of the National Cyber Security Centre division for the GCHQ, Chris Ensor, stated in a talk with The Telegraph that the British government has ordered the agency to look into the potential security risks that can be associated with bitcoin. Ensor said that the GCHQ is interested in anything that could pose risks to the country, and of course, the bitcoin is something that could not be ignored.

The GCHQ is allegedly looking into the cryptocurrency from all possible angles, being interested in finding out how bitcoin works, what are its benefits and which are the risks that it could have on the monetary system. Ensor said that government departments might also be interested in the technology behind bitcoin, but they first want to find out how it works.

It has previously been revealed that the UK Treasury is interested in regulating bitcoin, following concerns of tax evasion and money laundering, which are commonly linked to the cryptocurrency. For the moment, there were no other details available with regards to the GCHQ's intentions regarding bitcoin.