Bitcoin is not the Dark Web Coin, That Would Be Monero

This article from valuewalk.com gives the second mention on iState.tv of the government-funded blockchain spy company, Chainalysis, which is busy tracking how “criminals” are using the blockchain in the ‘dark’ or ‘deep’ web (which I am now labeling the ‘liberty web’).

Mind you, when they say ‘criminals,’ they’re referring to anyone who uses cryptocurrency to buy or sell something the government has deemed should not be sold, even if the transaction does not actually hurt anyone else.

The writer of this article, Vikas Shukla, is either blissfully unaware of the work that he is doing to help advance the narrative of fear the coercive enterprise wants to rely on to scare people away from anonymous-empowering technologies, or he is a willing partner in crime against human liberty.

Either way, the major point of this article is something that many of us have already known.  Bitcoin is not the coin of choice for those who seek to achieve anonymity in their transactions.  That distinction now belongs to Monero.  The government-funded blockchian spy, Chainalysis, is only confirming what many have known for a long time.

Monero Is Replacing Bitcoin On The Dark Web. Are You Surprised?

Bitcoin remains by far the most popular cryptocurrency in the world, but it is increasingly losing the ground on the dark web. More and more criminals now favor Monero, ZCash, Dash, and other virtual currencies over bitcoin. The crypto-crime community has complained for a long time that bitcoin takes longer to process transactions, is highly volatile, and the transaction fees are too high. Notably, criminals had been among the most loyal users of bitcoin for years.

Why criminals are moving away from bitcoin

Internet criminals prefer the enhanced privacy and better user experience offered by Monero, ZCash, and Dash. Forensic firm Chainalysis has said in a report that bitcoin is falling out of favor on the dark web, where criminals carry out illegal transactions. According to the forensic firm, the proportion of dark web-related bitcoin transactions has declined from 30% to just 1%. Chainalysis chief economist Philip Gradwell said that there had been “a rapid increase in the use of Monero, likely for illicit means.”

Bitcoin was popular among criminals because of the privacy it provided. Criminals could carry out transactions anonymously. It still offers privacy, but newer virtual currencies such as Monero offer added layers of anonymity along with cheaper and faster transactions. Another reason criminals are ditching bitcoin in favor of Monero is that now more people are choosing to hold bitcoin than spend it.

Chainalysis counts multiple law enforcement agencies among its clients. The forensic firm said even though criminals are losing interest in bitcoin for ordinary transactions, they are still interested in stealing bitcoin through hacking and other means. Bitcoin theft has gone up from $3 million in 2013 to $95 million in 2016. The theft incidents have only been rising. At least $172 million worth of bitcoin has been stolen between 2013 and 2017, according to Chainalysis.

A ‘progressive shift’ towards the criminal use of Monero

ZDNet said in a recent report that the use of Monero is spreading to ransomware. Criminals hack a victim’s computer and demand a ransom in Monero. Now they will be giving their victims instructions on how to buy and exchange Monero rather than how to buy bitcoin. Europol executive director Rob Wainwright has warnedthat there will be a “progressive shift in 2018 towards criminal use of cryptocurrencies other than bitcoin.” The shift will make it more challenging for law enforcement agencies to counter.

Read More at valuewalk.com
About Paul Gordon 2945 Articles
Paul Gordon is the publisher and editor of iState.TV. He has published and edited newspapers, poetry magazines and online weekly magazines. He is the director of Social Cognito, an SEO/Web Marketing Company. You can reach Paul at pg@istate.tv