Crypto crime’s overall impact set to fall even further in 2022: Chainalysis

The coming year is likely to see crypto-related crime decrease to an ever-smaller share of the overall industry as law enforcement takes greater advantage of the transparency provided by blockchain technology, says Kim Grauer, director of research at Chainalysis. 

According to a January 6 report from Chainalysis, the growth of legitimate cryptocurrency usage is “far outpacing the growth of criminal usage.” The share of cryptocurrency transaction volume associated with illicit activity has never been lower, representing just 0.15% of transaction volume in 2021.

Additionally, Grauer suggested that while she didn't expect a potential crypto bear market would affect the rate, or type, of crypto crime, a major financial recession or depression could.

“When you consider overall economic markets — not just crypto — recessions and depressions can drive an increase in criminal activity,” she said.

Additionally, Grauer suggested that while she didn't expect a potential crypto bear market would affect the rate, or type, of crypto crime, a major financial recession or depression could.

“When you consider overall economic markets — not just crypto — recessions and depressions can drive an increase in criminal activity,” she said.