AUGMENTATION OF THE NETWORK OF CRYPTOGRAPHIC ASSETS: A COMPREHENSIVE ANALYSIS ON THE ESCALATION OF FINANCIAL FRAUD THROUGH CRYPTOCURRENCIES

AUTHOR – SUBHRA DAN, STUDENT AT ADAMAS UNIVERSITY

BEST CITATION – SUBHRA DAN, AUGMENTATION OF THE NETWORK OF CRYPTOGRAPHIC ASSETS: A COMPREHENSIVE ANALYSIS ON THE ESCALATION OF FINANCIAL FRAUD THROUGH CRYPTOCURRENCIES, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (11) OF 2025, PG. 101-107, APIS – 3920 – 0001 & ISSN – 2583-2344.

Abstract

The globe has been witnessing a drastic transposition in every aspect of trading, commerce, fintech and other media after the advancement of technology. With the course of modernization and digitalization, the world glimpsed the creation of blockchain technology in the late nineteenth century. The invention of Bitcoin stemming from blockchain or e-leger technology is considered the cornerstone of crypto trading throughout the world. The decentralized e-leger technology allows all the traders and investors to regulate and spectacle all the transactions that go on in the blockchain. However, as the identity of the traders is anonymous in the crypto market, so in the past few years this market has been exclusively explored for exercising the evil practice of money laundering or financial fraud. The notable toolboxes that are used by the malefactors include tumbling or mixing, chain hopping, Burner’s wallet, privacy escalating cryptos like Monero, money mules etc. The rapidly evolving world is modernizing the methodology of committing malfeasance. Due to the dearth of suitable legitimate guidelines or legal frontiers to regulate the crypto market or any sort of trading through cryptocurrencies, there is a noticeable surge in the transgressions related to monetary transactions through crypto trading platforms. The paper has exclusively adopted the doctrinal methodology of research and has studied the contemporary trends of crypto-market along with the factors that contribute in an escalation of money laundering through crypto trading platforms. A kaleidoscopic prospect of cryptocurrencies and their extreme usage in money laundering has been analysed in-depth throughout the chapter. This analytical piece endeavours to explicate the contemporary scenario of the filigree of financial fraud through the crypto transaction along with the urgent need for legitimate frontiers to secure the prospect of the entire globe in the online trading platform through crypto coins.

Key words

Cryptocurrency, money laundering, blockchain, cybercrime, digital transaction, white-collar crime.