Darknet markets continued to show strong resilience in 2025, handling roughly $2.6 billion in crypto transactions over the year. Despite the numerous police interventions and disruptions in their systems, these markets remain a central place for illicit drug trade and fraud services.
According to the latest Crypto Crime Report by Chainalysis, the total volume of activity increased slightly compared to last year, but this small increase masks larger trends.
The drug sellers and markets operate in a very complex environment. The payments are usually made from personal accounts to escrow or vendor accounts.
The main products sold are drugs, but fraud services such as stolen credit card information and hacking software are also a significant part of the business.
Experts say that the data provided by the blockchain offers a unique insight into the underground market and how these markets respond to challenges to continue operating.
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Crypto Flows Drop Ahead of Overdose Fatalities
One of the most important findings of this report is the reduction in on-chain transactions associated with fentanyl precursors, particularly in China. The reduction in these transactions is consistent with the reduction in overdose deaths in the United States, which reached a peak of 80,000 per year in 2022-2023.
It appears that policy efforts, such as U.S.-China collaboration, sanctions, and the removal of over 140,000 ads for precursors, have disrupted the supply chain.
According to Chainalysis’ findings, the flow of cryptocurrency to fentanyl-related brokers decreased significantly in mid-2023, before the decrease in overdose deaths.
This indicates that monitoring on-chain activity can serve as an early warning system, providing three to six months of warning time before a potential public health crisis.
Although the fentanyl disruption is a positive development, other synthetic drugs such as methamphetamine and MDMA continue to flow through darknet markets, illustrating that trafficking organizations are able to adapt to continue making money.
Fraud Market Shift to Chinese-Language Networks
Though Russian-language fraud shops decreased, from $205 million to $87.5 million in on-chain transactions, the Chinese-language Telegram groups increased to become the new big players.
These groups are involved in the bulk sale of stolen credit card information and have English translations, attracting tens of thousands of members.
The data illustrates a shift from traditional web markets to robust social platforms with business-to-business models. Big transactions above $500 are associated with distribution or personal use, and these transactions correspond to more hospitalizations and more ER visits.
Through monitoring these online activities, law enforcement can identify emerging threats and understand the dynamics of illicit markets in real time.
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