Chainalysis: In 2021, cybercriminals laundered $8.6 billion in cryptocurrency

Last year, cybercriminals laundered $8.6 billion in cryptocurrency — a figure 30% higher than in 2020, according to data from analytics firm Chainalysіs.

The company’s estimates are based on cryptocurrency proceeds obtained from cybercriminal activity, such as dark-web trading or ransomware attacks.

“It is harder to measure how much fiat currency obtained from offline crimes — for example, drug trafficking — is converted into cryptocurrency for laundering,” noted Chainalysіs.

Analysts say that since 2017 cybercriminals have laundered more than $33 billion in cryptocurrency, with the majority of the funds gradually moving to centralized exchanges.

According to the UN Office on Drugs and Crime (UNODC), between $800 billion and $2 trillion in fiat currency is laundered annually — about 5% of global GDP.

By comparison, in 2021 money laundering accounted for only 0.05% of total cryptocurrency transaction volume, analysts note.

Chainalysis also noted that, thanks to the transparency of the blockchain, tracking criminals’ movements in crypto assets is far easier than with fiat money.

In 2021, there was a rise in money laundering via DeFi protocols. They accounted for 17% of all funds sent from criminals’ wallets. In 2020, the figure was only 2%.

For laundering through DeFi protocols, hackers are the primary actors, while scammers send most of the stolen proceeds to centralized exchanges, experts noted.

As noted by Chainalysіs, in 2021 attackers targeting the cryptocurrency industry stole $14 billion.

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