Chainalysis US Reveals Cryptocurrencies Are Traceable and Used in Illicit Fentanyl Trade

Chainalysis US has conducted a study on the use of cryptocurrencies in darknet marketplaces, specifically in the illegal trade of fentanyl. Despite being perceived as anonymous, cryptocurrencies are actually traceable and can help identify suppliers, distributors, and retailers. The research found that Chinese suppliers have received over $37.8 million in crypto payments since 2018, which could be crucial in identifying the supply chain. By implementing proper monitoring systems and government cooperation, illicit trafficking could be greatly reduced. Two Chinese chemical labs have been charged with selling fentanyl precursor substances to Mexicans, and one man has been indicted for accepting crypto payments. The introduction of monitoring systems and government cooperation could limit or eliminate such trades, and Chainalysis could play a crucial role in identifying culprits and creating a more transparent digital environment. Clearer regulations and monitoring systems implemented by government agencies could help stop illicit activities, and Chainalysis could provide the trust needed for banks, companies, stock exchanges, and governments to explore the potential of Web3.