Crypto Crime Hits Shocking $51 Billion in 2024: What You Need to Know!

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In the year 2024, it was reported by Chainalysis in their 2025 Crypto Crime Report that the overall worth of cryptocurrencies used for illegal activities amounted to approximately $40.9 billion. Experts predict this number could rise to an estimated $51 billion as more accounts associated with illicit activity are discovered. In contrast, the adjusted value for 2023 skyrocketed to $46.1 billion after revisions. The average annual growth rate of such activities, around 25% in recent times, implies this upward trajectory is likely to continue unabated.

Although the proportion of illicit activities within all cryptocurrency transactions decreased significantly from 0.61% in 2023 to 0.14% in 2024, this reduction may not be as straightforward as it seems. Many transactions linked to sanctioned entities or conventional criminal acts like drug trafficking are often underreported due to verification difficulties. For instance, the 2022 statistics now encompass $8.7 billion in creditor claims against FTX following the conviction of its previous CEO for fraud.

North Korean Hackers Stole $1.34 Billion — 61% of Total

2024 saw a 21% increase in funds being stolen, reaching a staggering $2.2 billion. Decentralized finance (DeFi) platforms and centralized services alike found themselves targeted, with the latter experiencing significant attacks during the second and third quarters. A shocking figure emerged: North Korean hackers were responsible for stealing $1.34 billion, which accounted for 61% of the total amount stolen in that year. These cyber-attacks have been traced back to sophisticated tactics employed by North Korean IT workers who infiltrated various cryptocurrency companies.

Even though there’s been a decrease in ransom payments, ransomware still manages to drain huge sums of money. This is due to increased global law enforcement efforts and fewer victims willing to pay ransoms, which have disrupted some ransomware activities. However, the number of attacks overall remains consistent, indicating that ransomware continues to be a profitable venture for cybercriminals.

In 2023, darknet markets generated approximately $2.3 billion in revenue, but this figure dropped to $2 billion by 2024. Additionally, fraud shops experienced a significant decrease in earnings, with revenues falling from about $440.2 million to $220.1 million over the same period. This decline can be partially attributed to a large-scale U.S.-Dutch operation that dismantled the Universal Anonymous Payment System (UAPS), a system used for processing fraudulent transactions.

Stablecoins Contribute 63% of Illicit Crypto Transactions

In the world of cryptocurrencies, there’s been a significant change: Stablecoins have overtaken Bitcoin as the preferred choice for illegal activities. By 2024, stablecoins were involved in 63% of all illicit transactions, mirroring their increased popularity in legitimate markets where they are often used for storing value, facilitating cross-border payments, and remittances. This growing versatility underlines the expanding role of stablecoins.

As a crypto investor, I’ve come to appreciate the convenience and stability that stablecoins offer. However, it’s important to note that occasionally, these stablecoin issuers have stepped in to halt illegal activities. For instance, Tether has frozen wallets connected to fraudulent schemes, sanctions breaches, and terrorism financing. Yet, some illicit actors find appeal in stablecoins due to their liquidity and perceived anonymity, especially in regions where accessing U.S. dollars is challenging.

Bitcoins continue to be significantly involved in ransomware extortions and underground marketplaces on the web. Meanwhile, cryptocurrencies emphasizing privacy, like Monero, are frequently utilized in illegal transactions as well. However, because of their concealment methods, they were often overlooked in various studies.

Huione Marketplace Processes $70 Billion in Transactions

The growing use of cryptocurrency by criminal organizations is a concerning development, with approximately $10.8 billion out of the total $40.9 billion received by illicit addresses in 2024 being linked to activities such as hacking, trafficking, and extortion. These networks are expanding their offerings to include services like laundering-on-demand.

Huione, a marketplace known for its involvement in the criminal aspects of cryptocurrency, demonstrates a level of professionalization. Since 2021, Huione and its sellers have managed over $70 billion worth of transactions. This platform enables schemes like pig butchering, offers resources for washing ill-gotten gains, and handles transactions for banned entities and fraudulent stores.

Artificial intelligence is playing an increasing role in the world of crypto scams, expanding their reach. Most common are high-return investment frauds and “pig butchering” schemes, where AI is utilized to craft customized phishing attacks. These AI-driven tools are circumventing identity verification procedures (KYC), making it easier for crooks to go unnoticed.

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2025-01-17 19:20