Darknet Markets Shift Back to Bitcoin Following Monero Delisting, Says Chainalysis

Darknet marketplaces are shifting back to Bitcoin as their primary payment method following the delisting of Monero (XMR) from various cryptocurrency exchanges. Eric Jardine, a cybercrime researcher at Chainalysis, discussed this trend in an interview with CoinDesk.

According to Jardine, the increasing adoption of Bitcoin by criminals is occurring alongside a decrease in the availability and liquidity of privacy-focused coins.

Prior to these delistings, Western darknet markets frequently utilized Monero as a key payment option, often alongside Bitcoin. However, following the removal of XMR from platforms such as OKX and Binance, transaction activity has sharply declined.

Data from BitInfoCharts indicates that the number of daily Monero transactions has nearly halved over the past year.

While Bitcoin’s return to darknet marketplaces is notable, illicit transactions still make up a small fraction of overall activity. Chainalysis reports that only about 0.14% of transactions (approximately $50 billion) are connected to illegal activities.

Jardine also noted that law enforcement prioritizes darknet marketplaces primarily due to their size and involvement in drug trade.

It is worth mentioning that on March 4, the U.S. Treasury’s Office of Foreign Assets Control added 44 Bitcoin and five Monero addresses associated with the defunct darknet marketplace Nemesis Market to its sanctions list. Among other things, this platform was known for distributing illegal substances.