A recent study shows that Dogecoin is finding increasing use in illegal activities thanks to its growing popularity.
As reported by blockchain analysis company Elliptic on 22. A study published on June shows that the meme cryptocurrency Dogecoin is apparently being increasingly used by cybercriminals. The company has uncovered “millions of dollars” in Dogecoin transactions linked to illegal activities. The researchers found that this would facilitate crimes such as rip-off, other fraud, pyramid schemes, terrorism and the sale of child sexual abuse material.
On St. Nicholas Day 2013 the market launch of the Dogecoin, which bears the logo of a Japanese Shiba Inu dog, was initially announced on a Bitcoin forum. The founders of the cryptocurrency are Adobe employee Jackson Palmer and programmer Billy Markus. With the creation of this fun cryptocurrency, Dogecoin initiator Palmer actually wanted to illustrate the absurdity of the early crypto boom, in which investors were already investing large sums of money in daring crypto adventures.
DOGE is currently experiencing significant value growth
The cryptocurrency Dogecoin, initially intended as a parody, has just gained in importance as a means of payment. Including being used by the Ukrainian government to collect donations for their defense against the Russian invasion. From . On June 10, Dogecoin (DOGE) value shot up again after Elon Musk repeated his support for the cryptocurrency via Twitter. His contribution propelled Dogecoin to join the top ten cryptocurrencies by market cap.
Currently, Dogecoin rose almost
yesterday %. DOGE is currently trading at 0,071 according to data from CoinMarketCap ) $ traded. The coin’s trading volume has also surged on major cryptocurrency exchanges. It was in the last 24 Hours at around $1.1 billion. However, despite this sharp increase, DOGE is still 89 % below its all-time high recorded in May 2021 of 0,73 $.
According to the study, the most common crimes that Dogecoin facilitated include scams and Ponzi schemes. These amount to a total of 29 cases. In the process alone, scammers have obtained hundreds of millions of dollars worth of Dogecoin. Notable crimes included the Plus Token Ponzi Scheme. This led to the confiscation of DOGE worth over 20 Millions of dollars by the Chinese authorities. Also, the alleged theft of Dogecoin worth 89 million dollars is related listed with a Turkish Ponzi scheme in the year 2021.
Received as part of terrorist financing Dogecoin Addresses in July 2021 31.124 Dollars, with the amount going to the terrorist group Hamas. It would be remarkable that Tether and Bitcoin take the first place. The respective wallets received $4.1 million and $3.3 million, respectively. The researchers further found that DOGE was worth about 3.000 Dollars were also used as payment for child sexual abuse material.
Dogecoin is gaining acceptance on dark web marketplaces
Dogecoin has also seen high usage in dark web markets, serving as a payment option for drugs and stolen data, for example. Regarding the dark web, a number of marketplaces accept the digital coin right away, such as: B. Just-Kill, which sell stolen credit cards. Archetype, which focuses on selling illegal drugs, also once allowed Dogecoin payments before exclusively accepting Monero. Doge as a payment method also used the now defunct darknet market Doge Road. This was 2013 active for a short time before suffering an exit scam, with the operators disappearing with the customers’ funds .
Blockchain analysis company Elliptic found it worth noting that cybercriminals have primarily used Bitcoin and privacy-friendly cryptocurrencies such as Monero. As Bitcoin loses favor on the darknet markets, as Bitcoinmagazine reported, players would otherwise increasingly expand their repertoire of cryptocurrencies, such as the Dogecoin, to continue to evade detection.
Cliptoman used DOGE address
According to the researchers, the cryptocurrency is also used to distribute malware, such as Cliptomaner, which hijacks computers to maliciously mine cryptocurrencies. The malware also hijacks various crypto assets, including Dogecoin, through clipboard hijacking. To date, the DOGE address used by Cliptomaner has almost 24. received US dollars.
Finally, Eliptic noted that DOGE is used to raise funds for far-right groups such as Infowars. They have received over 1.700 in donations.
2021About Antonia Frank
Antonia has been an author at the magic hat since January 2016. She started out with book reviews. In the meantime, she prefers to write about legal topics, such as P2P cases, but she also takes up other Internet topics, such as cybercrime. Her interests are mainly related to literature.