Feb 18, 2021

The 2021 Chainalysis Crypto Crime Report

Chainalysis have recently released their 2021 Crypto Crime Report 📝. Here are the main takeaways, including a new growing scam trend in 2020:

1️⃣ Crypto crime has shrunk in 2020 twice in absolute terms and seven times as % of transaction volume.
2️⃣ The main driver is the reduced monetary volume of scams, with no major incident like the $3b PlusCoin Ponzi scam in 2019
3️⃣ As the volume of scams decreased, their number increased, driven by sham investment pools for either algotrading or mining. Mirror Trading Int. was the biggest 2020 scam with almost $0.6b stolen from half a million victims. It promised 0.5% daily gains by algotrading.
4️⃣ 2020 marked an increase in crypto theft, with the $275m KuCoin hack responsible for more than half of the $0.5b total. DeFi flash loan attacks accounted for most of the rest.
5️⃣ There was a threefold increase in ransomware proceeds being funneled via crypto in 2020.
6️⃣ Most illicit crypto was funneled via a small number of nested services tapping into larger exchanges.

In short, crypto crime has reached a historically low level and can be expected to drop further in 2021✅. But stay away from any investment scheme requiring you to send your crypto to anyone ⛔️. Choose the more secure approach with coinerro.com 👍🏻