Research firm Chainalysis has released a new report on cryptocurrency crimes, noting that scams are becoming more sophisticated and shorter in duration but more profitable for criminals.
Evolution of Scams
Chainalysis noted a significant change in how scammers use crypto wallets and addresses to receive payments from victims. They also actively use off-chain tools, including domain names and social media accounts.
Shorter Lifespans of Schemes
Chainalysis found that the average lifespan of scam schemes has decreased from 271 days in 2020 to 42 days in 2024. This indicates how criminals adapt to rapidly changing conditions to carry out more devastating scams over a shorter period.
Criminal Earnings
Criminals engaged in scams are extracting large sums of money. For example, a scam group from Myanmar, first noticed in 2022, earned over $101 million in 2024.
Chainalysis highlights that criminals are refining their methods to extract maximum profit in a short time. In 2024, cryptocurrency scams continue to undergo significant changes and require ever-evolving countermeasures.
Comments