Recently, we have reported extensively about how criminals have been using cryptocurrency. The US House of Representatives just passed a law against the industry to learn more and eventually stop criminals from using the market for drug and sex trafficking. Japan is also working to make some major changes to the country's policies to avoid these issues.
On Thursday, Europe also showcased cryptocurrency's role in the country's crime world after law enforcement a massive LSD ring was taken down and millions of dollars worth of digital cash
How Much Money Was Found in Cryptocurrency Tokens During the Seize?
Europol released a statement revealing that it had taken down a massive criminal group that has been trafficking synthetic drugs on the dark web since 2012. Along with the Spanish Guardia Civil and the Austrian Federal Police, the authorities seized 8 individuals, two drug labs, and a record-setting 800,000 doses of LSD.
For cryptocurrency, over 5.25 million dollars worth of tokens in Bitcoin, IOTA, and lumen were impounded in the raid. The following information was taken from Europol's statement:
"The organized crime group had been operating in Spain since 2012 and imported the raw material to make the psychoactive substances from Asian countries, mainly China. The organization installed a laboratory in Amsterdam, which served as the production unit of the synthetic drugs. From this laboratory, the narcotic substances were shipped to two other laboratories in Spain (Granada and Valencia), which were directly managed by the organization and where the drugs were packaged and distributed to the final consumer."
How Does Crime Impact the Cryptocurrency Market?
It was an important week for cryptocurrency to make a bold statement on crime. On Tuesday, the US Department of Justice reportedly seized more than $20 million worth of cryptocurrencies from 35 illegal vendors on the internet.
After the European raid and the series of changes that are being made to eliminate crime on the crypto market, the hope is most criminals won't be dragging the market down with illegal acts that just give the industry a bad reputation with the general public.
Over time, criminals won't view the market as a safe haven for their activities, but the reality is that could take some time. It's likely that crime will always be a problem in cryptocurrency, but people will adapt to the traps and scams of the market the same way people adjusted to the problems of the early internet.