Dark web marketplaces and sellers witnessed a resurgence in 2023, accumulating an estimated $1.7 billion in cryptocurrency-based revenues, as per data from blockchain analysis company Chainalysis. This uptick in earnings follows a challenging 2022 for the industry, primarily attributed to the shutdown of Hydra, its largest player. The void left by Hydra has been filled by Mega Darknet, emerging as the leader with over half a billion dollars in crypto inflows, followed by Kraken Market and Blacksprut.
While the overall revenues indicate a rebound, the sector has undergone fragmentation, departing from the dominance of major players like Silk Road, AlphaBay, Wall Street Market, and Hydra. Presently, administrators are opting for specialization, focusing on specific goods and services rather than a one-size-fits-all approach. Chainalysis notes that darknet markets now serve unique criminal functions, specializing in cybercrime enablement, drug sourcing and supply, illicit laundering/buying, and distinct drug exchanges catering to various global regions.
Chainalysis also highlights a shift in advertising strategies, with some markets openly promoting their offerings in Russia using methods such as giant 3D billboards (Kraken Market) and QR codes on subway trains (Mega Darknet Market), indicating a shift in the dynamics and visibility of these illicit platforms.
