Fraudsters and criminals stole $4.26bn from cryptocurrency users in the first six months of 2019

Insider thefts were the most common form of cryptocurrency theft, according to cryptocurrency tracker CipherTrace’s latest report.

The new report also unveiled that criminals and fraudsters have stolen $4.26bn from cryptocurrency users in the first half of 2019.

For instance, users and investors lost roughly $2.9m when the Plus Token app went offline earlier this year. Moreover, hackers also stole $44m from the cryptocurrency exchange Binance.

And CipherTrace stated that the number of crypto-related scams, thefts and frauds grew in the second quarter of the year.

However, CipherTrace noted that criminals may have a harder time being able to use the stolen money as new anti-money laundering regulations were passed around the globe in 2018, with many of them coming into effect this year.

Despite these and other governmental crackdown, CipherTrace’s reported showed that criminals are still using cryptocurrencies to make illegal deals. It noted that Bitcoin is still the most popular digital currency for buying and selling illegal drugs and weapons. The currency was used in 76 per cent of dark market cases, according to the report.

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