What are the illegal uses for cryptocurrencies like bitcoin?

The introduction of cryptocurrencies in the financial world has changed the way of making payments and investments, and crypto analysts strongly feel that they will continue to do so. The combination of blockchain and cryptocurrencies has encouraged developers to develop more websites, networks, and software using blockchain technology. You must have heard about the most popular cryptocurrency as of now, i.e., Bitcoin. Bitcoin is a digital currency developed to create a currency independent of government and financial institutions.

Digital currencies were developed to better the financial world, but it has also been noticed that it hasn’t done any better. The main feature of cryptocurrencies like bitcoin is to maintain user anonymity. The anonymity of the cryptocurrencies explains that it has become a medium of exchange for people involved in illegal endeavors. You must have seen people talking about real-world cryptocurrencies and the adoption of them and blockchain. Crypto analysts have seen the usage and benefits of cryptocurrencies, and they want individuals and governments to adopt blockchain in their work. There is some bitcoin trader website like https://1k-dailyprofit.software that allows users to trade bitcoin for legal uses.

Bitcoin is the most popular cryptocurrency, but some other cryptocurrencies like Ethereum, Ripple, and more than are in use. The number of wallets of these cryptocurrencies looks encouraging, and it depicts that a great number of people are holding and using the crypto tokens. Now, you might be confused about how people carry out illegal activities. Research has been done that depicts that around 44% of cryptocurrency transactions are done to carry out illegal activities. Let us learn about some illegal activities that are carried out with the use of the cryptocurrency that is as follows:

Silk Road 3.0

You must have heard about Silk Road. It is one of the infamous sites of the dark web used by people who deal with selling weapons, drugs, illicit commodities, and illegal pornography. Silk Road got shut down in 2013 for the first time, then in 2014, and then again in 2017. The main creator of Silk Road was Ross Ulbricht, and police have caught him for carrying out illegal trade and is currently on a double life sentence in the US.

Unfortunately, the site is operating currently and is successfully carrying out the legal trade, and most of these dark web websites deal and operate in cryptocurrency like bitcoin. It has become one of the majorly accepted cryptocurrencies in the dark web, one of the biggest challenges for the bitcoin world.

Ransomware

Many people have issues with copyright pirates. Even after giving the demanded price of TV subscriptions and cinema tickets, they are left with no choices because they don’t get access to the latest content. The motive of ransomware is purely selfish, and one of the most popular examples of ransomware is in 2017, wherein around 150 countries, around 200,000 computers were affected. Businesses and companies are the primary targets of ransomware, and most of the health services are also targeted.

The websites demanded their payments in cryptocurrencies like bitcoin, and if those users paid, then they regained access to their machines. Surveys and research have been done, and it has been found that around $200,000 in bitcoin was sent to ransomware attackers.

Human Trafficking

Human Trafficking is one of the major issues of most countries, and many law enforcement agencies have also agreed to the fact that usage of bitcoin is a bigger problem that led to human trafficking. Research suggests that many traffickers pay for online ads in cryptocurrency like bitcoin to avoid the issues of being found out or tracked because bitcoin maintains user anonymity.

Some of the journalists have claimed that they have found evidence about how the traffickers use bitcoin and other cryptocurrencies to buy girls and women for sex and other things that are against the law.

Money Laundering

Money launders are highly using cryptocurrencies to carry out money laundering activities. Money launders integrate cash from illegal activities into the balance sheet of a person. Bitcoin and other cryptocurrencies have entered the mainstream, and many mainstream exchanges follow anti-money laundering activities, and this makes the verification process of users quite tedious.

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