Russia’s Darknet Criminals Have Novel Crypto Cash-Out System: ‘Buried Treasure’

Cybercriminals in Russia are going to extreme lengths to untraceably cash out cryptocurrency: The word used in online ads is “клад,” literally “buried treasure.”

Cashing out crypto on Hydra, the sprawling Russian darknet marketplace, has evolved to include services that offer to hide large volumes of physical cash at a specified location, where the cash can be retrieved by the customer.

Ransomware, darknet markets and exchange thefts generate large volumes of cryptocurrencies such as bitcoin. The criminals behind this activity, however, face a challenge in terms of how to remove any link to identity when turning the proceeds into cash. Darknet users that are proficient in laundering crypto are willing to provide fiat off-ramps for a fee, according to new research from blockchain analytics firm Elliptic.