Crypto Criminals Stole A Record Amount of Money In 2021 - Crypto-related crimes raked in a record $14 billion in 2021.

    This is the latest data released by analytics firm Chainalysis on January 6 amid calls for increased control over the rapidly growing digital currency sector.

    According to a report by Chainalysis, digital currency inflows to e-wallet addresses associated with illegal activities including fraud, black markets and the use of ransomware have increased by 80% compared to with 1 year earlier. Transactions involving illegal addresses account for only 0.15% of total cryptocurrency transactions – the lowest level ever. In the last year, the total amount of digital currency transactions reached 15.8 trillion USD, more than 5 times more than 1 year ago.

    Financial watchdogs and policymakers from the US to Germany are concerned about the risk of digital currencies being used to launder money. Chainalysis has warned that the abuse of digital currencies creates a major obstacle to the circulation of these coins, increasing the possibility of governments imposing restrictions while victims suffer great losses. especially innocent people around the world.

    Chainalysis also pointed out that one of the factors driving the rise in crime related to digital currencies is the explosion of fraud and theft on decentralized finance (DeFi) platforms.

    Taken as a whole, the amount of money stolen in connection with digital currency crimes has increased more than fivefold compared to 2020, with $3.2 billion worth of digital currency stolen in 2021. $2.2 billion of that, or about 72 percent, was stolen from DeFi websites, which provide loans, insurance and other financial services without going through a bank. The scam on Defi platforms has cost an estimated $7.8 billion in digital currency, an increase of 82%.

    Digital assets, from Bitcoins to tokens (digital signatures) encoded into numbers, have exploded in popularity in 2021 as they attract large numbers of investors and large companies. New entrants are “blinded” with promises of quick returns on investments in the digital currency, as well as the hope that bitcoin will act as a hedge against soaring inflation. However, digital currencies are still subject to patchwork regulations, leaving investors with little resistance to crime.

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