Chainalysis, demonstrated that use of Bitcoin in the dark web market decreased and the increase of the Bitcoin theft carried out by various methods.
Since the first dark web market Silk Road has spread drug sales from the internet, the criminal nature of the Bitcoin system is evolving. Bitcoin is no longer used in dark web markets. The share of Bitcoin transactions in the Dark web market fell from 30 percent in 2012 to 1 percent in 2017. On the other hand, fraud, ransom software and hacking method Bitcoin theft is increasing.
What is the reason for these changes in dark web markets? Chainalysis affects these changes in three ways:
- Law enforcement closed the biggest of the dark web markets. Between May and June 2017, Bitcoin transactions in dark web markets fell by two-thirds.
- Other forms of use of Bitcoin have become widespread. In 2017, tens of millions of dollars worth of Bitcoin have been kept as financial assets. In 2017, only $ 660 million worth of Bitcoin was transferred to the dark web.
- The use of alternative crypto coin, such as Monero, Zcash, and Dash, which provides more privacy and is currently cheaper than Bitcoin, has increased in the dark web market.
The number of Bitcoins being stolen by ransom software and fraud is increasing
Bitcoin-related crimes are also increasing as the value of bitcoin increases. Crypto thieves are ranting Bitcoin with methods such as ransom software, fraud, hacking. Chainalysis explains that Bitcoin's rancor has risen from $ 3 million in 2013 to $ 95 million in 2016.
Between 2013 and 2017, it was understood that at least $ 172 million worth of Bitcoin was hacked. Ransom software, by this time, gave the criminals at least $ 31 million worth Bitcoin. Although it is difficult to assess the amount of Bitcoin obtained through fraud, it is believed that many victims are affected. For example, Bitcoin Bad List, which contains probable fraud cases generated by users, has detected 5 thousand 33 fraud cases since 2014.
Crypto-crime future
These trends show that cryptographic offenses are not limited to illegal exchange of money in the dark web markets. Crypto crime is no longer valued as a financial asset in the form of Bitcoin robbery. The changing nature of cryptographic crimes requires legal sanctions to follow new approaches, while Bitcoin users need to be more cautious about theft and fraud.
Source:
http://www.badbitcoin.org/thebadlist/
https://blog.chainalysis.com/crypto-crime/