Ep 82 - Darknet Market Research with Cedric Dahl - 1000X Group

Darknets Rising

The Darknet is powered by cryptocurrency. On episode 82 of LAB
Radio we speak with Cedric Dahl of 1000X Group about this
controversial place. Most people have heard of the Darknet, but
know what really goes on or how it operates. We dispel some myths
and provide insight to why crypto is used predominantly on
darknet markets.


Cedric, like most of us, shrugged off Bitcoin when first told by
a friend. The only difference for most us the is when the clock
first starts ticking. For Cedric it was 2010. By the time he
became a believer, he was farther ahead of the game than most.


His first fascination was when he was told that it was being used
on the Darknet for drugs and other nefarious activities. His
shock came from realizing the power of a non-state controlled
medium of exchange. Power to the people.


The money use case was interesting, but after the Silk Road trial
it was obvious that Bitcoin was not nearly as anonymous as we all
thought. So why are the majority of Darknet markets still using
Bitcoin?


Bitcoin is still the predominant currency used for these markets
because its ease to acquire, ease of sending and inability to
stop two people from transacting. The casual user is not worried
about being traced to Darknet markets, but operators are.
Governments use the Darknet too

How are they getting around this. Cedric believes the increased
anonymity from tools like CoinJoins plays a part. A CoinJoin is
the Mixers and Tumblers advanced and distant cousin. Mixers were
the first tools people had to combat the deanonymizing blockhain
forensics companies. They are simple software that takes bitcoin
and breaks it into small pieces, shuffling it around through
other transactions and mixing it with other people's bitcoins in
hopes of causing ambiguity.


There is a lot of good information in this podcast. If you're in
Law Enforcement or other types research, they offer a report. You
can follow the link to sign up in the section below. Their
insights are pretty amazing.


Quote your favorite moment and tag @CoinStructive @djkinkle
@cedricmakes & #LABradio.


Enjoy.
Further Reading and Resources

Cedric Dahl, Founder of 1000X Group - LinkedIn - Twitter


1000X Group - Website - Email - Report