- Crypto fund laundering plummeted by 91% in H1 2023, amounting to approximately $244.5 million.
- There is a notable decline of 91% and 31.3%, in 2023 and 2022 respectively
- The decline in crypto fund laundering demonstrates improved security and trustworthiness.
PeckShield’s latest report highlights a remarkable 91% reduction in the total value of laundered crypto funds during the first half of 2023. This significant drop, amounting to approximately $244.5 million, demonstrates a substantial improvement in combating illicit activities.
The PeckShield report sheds light on Tornado Cash, a protocol known for its role in facilitating crypto fund laundering. The report identifies specific cryptocurrencies involved in illicit activities. These include approximately 31.35K ETH and 39K BNB, which were part of the laundered funds. These figures indicate a remarkable decline of 91% and 31.3% in 2023, compared to the previous H1 in 2022.
The cryptocurrency industry witnessed two major security breaches. Firstly, Poly Network suffered its second attack as hackers managed to exploit vulnerabilities and mint billions in assets. Meanwhile, Rodeo Finance faced a hack in which an exploiter successfully stole approximately $1.53 million worth of Ethereum (ETH) and proceeded to transfer the funds to Ankr. These attacks have raised serious concerns about the security and vulnerability of DeFi platforms.
However, the decline in crypto fund laundering signifies significant progress in bolstering security and trustworthiness within the crypto market. Also, the reduced prevalence of illicit activities like money laundering fosters a safer environment for investors and users.
The decline in crypto fund laundering carries essential implications for the broader crypto industry. It reflects the effectiveness of regulatory efforts and increased security measures. As the prevalence of money laundering decreases, the crypto market becomes more secure and reliable. By tackling money laundering head-on, the crypto community takes a crucial step towards achieving mainstream adoption and legitimacy.