- Despite the fact that 5% of the world’s gross domestic product is laundered each year in fiat currency.
- For perspective, the United Nations Office on Drugs and Crime estimates that between $800 billion and $2 trillion in fiat currency is laundered every year.
- A smaller set of 45 locations received 24% of all illicit payments transmitted, totaling slightly under $1.1 billion.
According to new data from Chainalysis, while money laundering methods involving digital assets increased last year, they still account for a small percentage of total crypto transactions.
According to a new analysis from the market analytics firm, money laundering accounts for only 0.05% of all crypto transactions, despite the fact that 5% of the world’s gross domestic product is laundered each year in fiat currency. In sum, fraudsters have laundered more than $33 billion in bitcoin since 2017, with the majority of the amount shifting to centralized exchanges over time.
Drugs and Crime Estimating $2 Trillion In Fiat Currency!
For perspective, the United Nations Office on Drugs and Crime estimates that between $800 billion and $2 trillion in fiat currency is laundered every year, accounting for up to 5% of world GDP. Money laundering, by contrast, contributed to only 0.05% of total bitcoin transaction volume in 2021.
Money laundering through crypto assets is also highly concentrated, according to Chainalysis, with the majority of funds traveling from unlawful wallets to a surprisingly tiny number of companies. In 2021, a small group of 583 deposit addresses got 54% of all cash submitted from unlawful addresses. Each of the 583 addresses received at least $1 million in cryptocurrency from illegal addresses, totaling just under $2.5 billion.
A smaller set of 45 locations received 24% of all illicit payments transmitted, totaling slightly under $1.1 billion. All of the money came from wallets linked to the Finiko Ponzi scheme and was sent to one deposit address.”
Crypto Market Most Affected By Money Laundering
The area of the crypto market most affected by money laundering, according to the market intelligence agency, is decentralized finance (DeFi), which experienced a 1,964% increase in the overall value of cash received from unlawful addresses year to year.
According to Chainalysis, the total amount of money laundered through cryptocurrencies in 2021 was $8.6 billion, up 30% from 2020.
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Source: https://www.thecoinrepublic.com/2022/05/05/money-laundering-accounted-for-less-than-1-of-all-cryptocurrency-transactions-last-year-according-to-chainalysis/