What makes cryptocurrency ideal for transactions on the dark web? Actually, in the year 2017, there was an immense increase in the value of the bitcoin and it peaked up to $20,000 before going downward. Can we attribute this to the transactions on the dark web?
Why is Cryptocurrency being used on the Dark Web?
The usage of cryptocurrency on the dark web is crossing all boundaries. There are several important features of delegated blockchain technology and they are discussed for you below:
When the transactions are being processed without leaving any information behind might come off as surplus at first but if you go to its roots it becomes very beneficial for activities on the dark web. Currencies like Monero have some features like stealth addresses which can generate an address for receiving funds apart from Bitcoin. The addresses can be traceable but cannot be retrieved back to the original owner.
You will be amazed when you will get to know about the volume of transactions that are present on the dark web. These transactions are very costly and delays are not allowed. There should be a safe and reliable means of getting funds for dealers.
Factors not in favor of Cryptocurrencies being used on the Dark Web
Some of the risks that don’t allow the usage cryptocurrency on the dark web are:
Value of Cryptocurrency
The coins at Bitcoins and Ethereum are at a very high cost which means people are unable to trade at its present value. Also, some individuals are not willing to trade their altcoins at a lesser amount because they believe that its worth will surely go up in the future. This leaves you in an unmanageable situation.
Very fast speed of Transactions
Bitcoin has seen a steep decrease in activity on the dark web during the last few months. It is because transactions on the network became incredibly slow and many people attributed to this the increase in price. It was because of the increase in popularity of Bitcoin.
Regulations set by the government
Many companies in the darknet markets (DNM) faced difficult times over the past few years. Such as Alphabay and Hansa which were shut down. Several others faced opposition in many ways or got involved in bankruptcy. It appears as though the worst is yet to come.
Bitcoin rate has been decreasing in the dark web and it may be because of an increase in the cost of a transaction. The main reason for this is the scaling problem. For this reason, we had to suffer an increase in the cost of transactions as a result of an increase in trafficking. It is not pleasing for the users who use the dark web as a resource.
Now cryptocurrency is an integral part of the dark web and it has been consistent in its growth. With the recent blockade in the dark web and the misuse of Bitcoin, the future is quite exciting to imagine.