Cryptocurrency's Dark Side: Human Trafficking on the Rise Crypto Crime Surge: FinCEN's latest analysis reveals a disturbing trend –
cryptocurrency is increasingly entangled in the web of online human trafficking. The numbers don't lie: from 336 cases in 2020, we've seen a shocking
500% surge to 1,975 in 2021.
Crypto's Share Grows: It's not just the sheer volume, but the proportion too. Last year, crypto accounted for a mere 6% of financial reports on these heinous crimes. Fast forward to this year, and that figure has skyrocketed to a troubling
29%.
Profits and Perversion: The financial stakes are high, with these illicit activities raking in a staggering
$278 million in fiat currency this year alone. Disturbingly,
95% of these reports involve crypto being swapped for explicit material or its proceeds converted into traditional money.
Bitcoin's Dark Dominance: While bitcoin takes center stage in over 2,000 reports, other cryptocurrencies can't escape scrutiny either. FinCEN's watchful eye is scanning the digital landscape for any signs of foul play.
Four Disturbing Trends: The investigation uncovers four distinct patterns – darknet markets, peer-to-peer exchanges, crypto mixers (under national security scrutiny), and even those seemingly innocent cryptocurrency kiosks.
A Call to Action: FinCEN Director Andrea Gacki emphasizes the vital role of financial institutions as allies in this fight against exploitation. Their vigilance and prompt reporting are crucial tools for law enforcement to rescue victims and bring criminals to justice.
