Topic: Why criminals prefer cash (Fiat) on top of crypto? (Read 4846 times)

Fiat is still less traceable than cryptocurrency. I've read that even mixers dont give 100% guarantee that you wont be identified. Deal in cash are quicker to make. Just give a stack of money and that is it. But if you crypto, you still a device to check that you were paid, need to find a way to turn crypto into more local currency. It is mentally better to feel cash in hands, than have a paper with privatekey in the pocket, or keep hardware wallet in hands.

Converting crypto to Fiat (cash) wouldn't be necessary if there's a decent number of merchants and businesses accepting crypto as payment method. Of course, there's the problem of price volatility. But that can easily be solved via the use of decentralized stablecoins like DAI and USDJ. The reason why criminals are still using Fiat it's because of its ease-of-use. Not to mention, you can use Fiat (cash) when there's no Internet access whatsoever.

I'd prefer that criminals stay away from crypto as possible, so the industry can come out clean in the long-run. Otherwise, governments will try to stop crypto by making it "illegal". We're living in uncertain times, so anything can be expected in the future. As long as the number of people using crypto legitimately succeeds those who don't, there should be nothing to worry about. Just my thoughts

Sooner or later you'd have to convert that ill-gotten crypto to fiat and that's when you become most vulnerable. And then there's the issue of what if the price suddenly collapse. What, you gonna halt operations and wait for it to bounce back? Unless you're transacting cross-borders, you're probably just really better off using fiat. It's tried and tested! Even government swears of its usefulness

Fiat is basically invisible if it don't go through banks. Just set up a small business that accept cash payments and you're done! Sure might have to pay taxes on that (can't beat the biggest criminal of course) but for all intents and purposes, your money is "clean".

Maybe because it is very complex to convert the money from crypto and it requires KYC where personal details are required before getting the money.

So they prefer the traditional thing and besides not all of them are capable of hijacking cryptocurrency.

It's obvious that it's easy for criminals to use the traditional which has easier transaction processes.

Maybe because it is very complex to convert the money from crypto and it requires KYC where personal details are required before getting the money.

So they prefer the traditional thing and besides not all of them are capable of hijacking cryptocurrency.

It's obvious that it's easy for criminals to use the traditional which has easier transaction processes.

We're talking about different classes of criminals when discussing fiat and cryptocurrency transactions. The local drug dealer isn't inclined to accept cryptocurrency because they are running a cash business - they buy in cash, they receive cash and they restock in cash. Besides that, their customer base is unlikely to be super sophisticated to use Bitcoin, or at least enough customers don't do it to make it worth additional hassle. The type of criminals you see talked about in the news and referring to crypto are large scale - randomware attackers, money launderers and criminal syndicates that generally just need to move money across borders with ease.

As of late, crypto has become extremely popular due to the negative effects of COVID-19 in the mainstream economy. People are starting to consider crypto to be a safe-haven against the traditional monetary system empowered by banks worldwide. Yet, the vast majority still relies on Fiat for day-to-day transactions because of its price stability and widespread acceptance in the mainstream world.

With the advent of privacy coins, people can enjoy true financial freedom like never before. Privacy coins can become attractive tools for illicit activities because of their untraceable blockchain ledger. Despite all of the benefits privacy coins provide, criminals still rely on Fiat for all of their nefarious actions. I'm starting to wonder why, since Fiat (physical cash) is not as anonymous as one thought it would be. Privacy coins are truly anonymous (especially those that are private by default like Monero and Grin), as there is no central authority behind them. Maybe criminals prefer Fiat because of its high level of adoption in the mainstream world? Or maybe because Fiat has an easier learning curve than crypto?

If by any means criminals start adopting crypto in mass (especially privacy coins), we could expect a full government crackdown on the entire industry. Which is why I think it's best for criminals to continue using Fiat for the sake of the crypto/Blockchain industry's growth worldwide. But we'll never know what will happen in the future. Thoughts?

Tech savvy or not you can't always be anonymous when doing crypto transactions you will eventually get yourself screwed on day, fiat is a safer tool for illegal payment or activities not crypto.

How do we know that all criminals are beginner and what about the criminal that attacks online. They have a knowledge in crypto already but if they are completely new to it they can still be able to learn it. Even kids now knows how to operate a crypto and if they do it, that wont really create a bad impact on the reputation of crypto. We can just assume that criminals are now using crypto because crypto is now popular.

Ever since before we always have news about hacks and thefts but cryptos and crypto supporters are still here. Nothing have changed to them and if there are countries or people that reject crypto, that was because of other reasons.

Maybe criminals prefer Fiat because of its high level of adoption in the mainstream world? Or maybe because Fiat has an easier learning curve than crypto?

This is one of the right reasons, because for beginners it is quite difficult to save their money in the form of cryptocurrencies, especially those who do not have the basic knowledge for it.
But if they do that, I think it will give crypto itself a bad image. Yes, we know that cryptocurrencies are currently still being rejected by some people and even countries.

Of course, the reason is simple, namely fear that if the money stored in crypto will be of no value, as we know that there is a lot of negative news about crypto, namely if we invest, we will lose and lose money because the value is not clear, this is what makes many countries afraid to invest. legalize crypto so criminals don't want to save into crypto.