US Crackdown on Crypto-Fentanyl Sales Leads to Major Slowdown in 2023
Crypto fentanyl sales growth slows in 2023, with Q1-Q3 seeing a 60% increase, down from the 155% average since 2019....
- Crypto-denominated fentanyl sales growth has slowed in 2023, with a 60% increase in Q1-Q3, down from the 155% average growth rate since 2019.
- Research conducted by TRM Labs reveals the decline in growth rate and highlights a potential link to aggressive measures taken by the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC).
- OFAC has sanctioned 82 individuals and entities associated with fentanyl production and distribution in 2023, targeting major players in the industry.
- The sanctions have impacted sales volumes, with significant drops in April, May, and October coinciding with the sanctions.
- While the decrease in sales does not necessarily indicate a demand reduction, new vendors may emerge to fill the gap left by those sanctioned, but they will face increased pressure from U.S. and international law enforcement agencies.
The article presents a decline in crypto-denominated fentanyl sales growth, which is seen as a positive development due to the aggressive measures taken by OFAC to target individuals and entities associated with fentanyl production and distribution.