Topic: Why criminals prefer cash (Fiat) on top of crypto? - page 9. (Read 4846 times)

Criminals are obviously various types, from idiots to smartest one. Now the thing is first category might be not smart enough to understand the cyrpto based transactions and perhaps they are man of traditions! If you buy-sell things with the fiat then it is pretty fast and on the spot. I don't think anyone would stand on street for hours to get their payment which is being received for the crime that they just did.


If smart group is using this one then they know the value of anonymous transaction.

However, there is loop hole in such transactions. They can not easily launder huge amount of money which is coming from the crypto space. Today or tomorrow they will need the crypto's converted to fiat for their daily needs. The only source they can the money is via their bank accounts.
Just imagine millions of transactions getting recorded in the bank account will surely sound the alarm for local authorities.

So it's still confusing for them and good for us since we will get great deal of volume in the crypto space.

It is very difficult to cash out on a large scale, as it attracts the attention of law enforcement agencies, and the criminals always need cash. It is better for us to hide the earned money from the government in cryptocurrency and use only the amount that we need.

Criminals can do many harmful things without any second thought which normal people can not. They are smart too and that's why some of them are using the cryptocurrency method for their payment. Fiat can easily accessible and it's common and open to all. They used something which they can receive from any place without their absence and I think they like it.

Not when you use monero blockchain network. Monero is completely untraceable and untrack transactions that's why most hacking transactions and kidnapping happens. They feel its very easy to exchange values through monero, that's why even the dark web make use of it everyday.
The government agencies are only trying to break down the network by launching a bounty, perhaps they might succeed in the future, hence for now don't under extimate scammers, they can take away your love savings and goes free.
#stay safe my friend.

Exactly. That's largely because crypto is not as anonymous as its proponents claim it to be. For instance, Bitcoin's blockchain ledger is visible to the general public. Anyone with your public address can easily see your transactions on the blockchain, making law enforcement an easy task. I think this is one of the many reasons why criminals avoid crypto in the first place. Privacy coins are a better option, but they're often harder to use than traditional cryptocurrencies like Bitcoin or Ethereum. The steep learning curve, price volatility, and lack of merchant acceptance, is what's keeping criminals away from crypto. I'd prefer it to stay this way for the sake of the crypto/Blockchain industry. If criminals begin using crypto for their nefarious actions, we can expect the government to do a full crackdown on the industry. After that, no one will be able to buy or sell crypto with Fiat easily. Everything will be performed under the scope of mainstream governments worldwide.

Nonetheless, Fiat will continue to be the payment method of choice for criminals in the mainstream world for very obvious reasons. As long as crypto's legitimate use cases are expanded, it'll be here to stay for a very long time. Government collaboration is necessary in order to lead the industry towards new heights. Time will tell us what will be the fate of the crypto/Blockchain tech as its popularity rises in the mainstream world. Just my thoughts

Those people don't have to go to exchanges that requires KYCs, they are criminals so usually they just send them to certain wallets and send them to a mixer. Mixer is usually their go to when laundering hacked and scammed bitcoins. Still, I agree with you, I still prefer fiat because of its liquidity.

This is also a major weakness that makes it difficult for Crypto to be widely accepted. Because no one can regulate Bitcoin right now, it's all anonymized transaction and this will make it even easier for criminals to launder money. In addition, accepting crypto payments in the country will help criminals lessen the money laundering phase
There are many hidden corners as Bitcoin is accepted worldwide. Hopefully this anonymity will not affect the crypto market as much in the future.

Not always true and there are hackers who are making a life out of hacking others and demanding money in return and they are never caught because they are smart enough to leave no evidence.

How would you catch a criminal who took payment in crypto, used a public IP or maybe VPN to make account at an exchange and after depositing he withdraws money to an address that was sent to a coin mixer which has then again sent to another exchange or even a gambling website and then finally he withdraws it to a new address. There are so many hacks that often happen and they demand Bitcoins as payment option because they know it can't be traced being a peer-to-peer cryptocurrency.

When some hackers steal other people's funds, they are still found and punished, and if cryptocurrencies are used for other criminal activities, then this is not a fact of going unpunished. If there is a crime, then there will be evidence, and after investigation and capture of a criminal or an organized group, there are financial accounts, including cryptocurrency wallets. None of the dealers will sell drugs to their customers if they don't use cryptocurrency.

It is because fiat currency is the traditional one and some criminals don't even know or have knowledge about cryptocurrency so they prefer to fiat-crypto. Not all criminals know everything about crypto but those who know it are thinking that they cannot be tracked by the authorities once they already stole the money or an asset of an individual. Hackers are commonly the criminals that will choose to steal crypto than fiat because they can do so online.

Exactly. Cash is anonymous, whereas most cryptos are pseudonymous. Back in Bitcoin's early days, many people believed it to be anonymous just like cash. Once it was discovered that the Blockchain was completely transparent to the public, some people made the switch to privacy-oriented cryptocurrencies like Monero and Grin. What's stopping criminals from using crypto is lack of knowledge and high price volatility. If crypto were easy to use, and prices were stable on the market, criminals would've used it on top of cash any day. Still, not many merchants and businesses accept crypto as payment method. Despite crypto's mainstream success, cash is still king when it comes to widespread acceptance in the mainstream world. I guess criminals will continue to use cash (Fiat) on top of crypto, because of its high level of accessibility.

Nonetheless, it's best for criminals to distance themselves from crypto as much as possible. This would make the crypto/Blockchain space legitimate, attracting institutional investors in the long term. As long as governments give the "green light" to crypto/Blockchain tech, the industry will continue to grow towards unprecedented levels. Otherwise, expect a massive crackdown from mainstream governments into this revolutionary industry. Just my opinion

I imagine if it happens in my country, only those who know about crypto and can be detected so easily.
Well about criminals who prefer crypto, it may be only limited people, not many criminals concern with it or popular with crypto. But later, who knows? Probably there will be some kind of revolutioner from criminals to widen their sectors to crypto? 

And now, cash is likely still much easier for the transaction, this is what they need

Many government try their possible best to fixe the economy which covid-19 has reduced in the country to start working as usual in all the communities . During the pandemic many citizens find it difficult to grow their businesses in the country because many of them are use to fiat money in the area of investment. Most of the criminals who are use to fiat money in the country, know all the strategy to scam fiat currency user in the country than cryptocurrency, which is just newly legalized in the country that most of them don't have any idea concerning cryptocurrency. Most of them don't know how to use crypto to invest and make a good profit from the investment. All crypto user wallet are well safe because many people in the country don't even know what is wallet and how we can use it to save our money without any criminals have access to your money.

I'm sure other people already pointed this out, but the crypto transactions are permantently stored on blockchain.

Even if you use some mixing schemes or something like that, eventually your transactions can be tracked if you represent a serious interest to some agencies with high-tech tools.

Yes, many criminals do not know about crypto and cryptocurrencies are not usable everywhere so criminals do not choose Fiat. Criminals can use it everywhere to print money fiat Money is issued by the central banks of the United Nations fiat is one of the largest companies in the business world. Also criminals can conduct illegal activities very easily although cryptocurrency has been seen as a disruptive tool challenging dissociative financial markets, we have witnessed a trend of change in recent times where exchanges are trying to work with stock and asset markets.

Since all nations in the entire world are presently used fiat currency, then few of them adopted the concept of cryptocurrency or Bitcoin.
In which means, majority of the people here in this field of business are not ready yet to accept Cryptocurrency to their own country or territory places. And this might be the reason why most of the criminals now becomes more aware about in cryptocurrency, just a thoughts
only.

Bitcoin mixers are there to help you out

However, you can't know in advance which of them are real ones and which are only honeypots to get people like you caught red-handed. With that said, if you are already smart enough to steal from an exchange a few dozen bitcoins or something to that tune, you must be smart enough as well to cash out these coins safely, without attracting too much attention (beyond what you will be receiving anyway). That would most certainly mean splitting your spoil into smaller portions and using different avenues for cashing out in order to cover your tracks

I dont know why hackers hack exchanges this days because the money will be useless to them on the long run, for them to swap the stolen coins to fiat they will still need some kind of verifications on the platform, KYC and ID verifications so they can easily get caught in the process, once you hacked a exchange and move fund to a particular address you have been tagged already, the hunt is on.

good point bro, its just that not all crytpo users are that smart either, few hackers have been apprehended after the successfully hacked a exchange or platform, not all crypto users understand what mixers are, not all crypto users understand the difference between monero and bitcoin, now that crypto address can be easily blacklisted its harder to stay off the radar in crytpo space.

Although I would agree with your observations partially, I have to say that the situation is changing. Bitcoin liquidity is getting better with every passing month, and unless you are dealing with a huge stash of coins (tens of thousands or more), then it is possible for you to liquidate them within a few weeks without attracting unwanted attention from the law enforcement authorities.