By now, it is becoming obvious that blockchain and crypto money are here to stay and one major reason for this is the widespread adoption by the dark web community. While it is being envisaged that bitcoin cryptocurrency and other altcoins might plunge suddenly, the popularity it has enjoyed in recent times casts a doubt on this position.
This post will cover some of the reasons for the growth of cryptocurrency and cryptocurrency market among dark web enthusiasts and will also provide statistics backing its usage. But first, let’s look at the dark web in its entirety.
What is the Dark Web?
Even though the name gives it off, there’s more to the dark web than meets the eye. In simple words, the dark web is described as a hub where several activities are run incognito. Although some activities are deemed legal, most of it will have you on the wrong end of the law.
The mysterious and questionable nature of some of the trades on the platform, as well as the size (it is several times bigger than the indexed internet), makes the dark web inaccessible when you search on engines like Bing and Google.
Cryptocurrency on the Dark Web
In January 2017, one bitcoin (BTC) was selling for almost $1000. Towards the end of December, the bitcoin price peaked at $20,000. In hindsight, there are several possible reasons for this astronomical increase. However, one widely broadcasted explanation for this is that the volume of cryptocurrency transactions carried out on the dark web caused the growth.
Why do people prefer to use bitcoins for payment on the darknet, rather than fiat currency? There are many reasons for this and 2 of them will be discussed.
The Anonymity Cryptocurrency Provides
The concept of a peer-to-peer network validating transactions without the need for a third-party or a central body is all too alluring. Some cryptocurrencies are particularly designed to make the user totally anonymous.
For example, Monero has enhanced features like the stealth address. This allows the system to generate fake addresses in the course of the transaction. Even if this address is traced, it is not traced back to the original owner.
Cryptocurrency Offers Security
It might be interesting to you to know some of the activities going on over the dark web. People have been arrested for selling child pornography, selling drugs, and even hiring professional assassins on the web. For this reason, the users demand stringent security measures to ensure that they aren’t tracked or arrested.
Stats on the Usage of Cryptocurrency on the Dark Web
An Australian study carried out showed that transactions on the dark web make up 47% of all the transactions involving bitcoins. One way to look at this is that about half of the time bitcoin is being used, one shady affair is going on somewhere.
Recently though, some factors are beginning to discourage the use of bitcoin cryptocurrency in that regard. For example, at the moment, the bitcoin price is going for about $6,000, making it the most valuable cryptocurrency we have. Many people would rather sell their coins for actual cash than trade it in for a drag of cocaine. Also, because of the popularity bitcoin has accrued, several transactions are being delayed and this has also caused the transaction fees to rise.