CipherTrace: 97% of criminal bitcoins are sent to unregulated exchanges

Blockchain analytics and cybersecurity firm CipherTrace released its Q3 2018 Cryptocurrency Anti-money Laundering Report analyzing 45 million transactions at 20 global cryptocurrency exchanges between January 2009 and September 2018. According to the report:

  • 97% of crime-associated bitcoins were received by cryptocurrency exchanges located in countries with weak anti-money laundering laws.
  • 4.7% of bitcoins received by exchanges in countries with weak regulation are criminal
  • In the first three quarters of 2018, $927M of cryptocurrency was stolen by hackers, 3.5 times larger than thefts in 2017.

(Source: CipherTrace)

About Author

Steven Zheng is a researcher for The Block. He joined The Block in August 2018. Steven graduated from St. John’s University with a degree in economics. Previously, he covered blockchain and crypto at Radicle, a startup analytics firm. He also had brief stints at Cheddar, a media startup, and Bowery Capital, a venture capital firm. He owns bitcoin. Follow Steven on Twitter at: @Dogetoshi

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