Have you ever wondered why millions of people visit the dark web every day? This is because the dark web has a large range of rare content. But also because the dark web is a huge marketplace where you can find all types of legal and illegal goods and services.

People who buy stuff from the dark web are either criminals or the general public looking to stay anonymous to protect their digital data. In both good and bad cases, dark net marketplaces are visited because of the high level of anonymity they offer.

With the introduction of the Tor browser, it has become easier for people to access the dark net marketplaces. People can carry out their activities on the dark net marketplaces without being traced. This is where cryptocurrencies come in. Using cryptocurrency provides these people with an exceptionally secure way to make payments for the goods and services they buy on the dark net.

Why Do People Use Cryptocurrency to Make Payments on the Darknet

The introduction of Bitcoin in 2009 not only revolutionized the financial setup on the surface web. But also changed the game on the dark net. It made it easier for people to carry out their transactions on the dark net without being caught. However, on the other side, it made it more difficult for law enforcement authorities to catch the criminals buying illicit services on the dark net.

Around 2009 Bitcoin was the only cryptocurrency being used on the dark net however as new cryptocurrencies started being launched in the market, the use of a range of different cryptocurrencies started becoming common on the dark net. These days there are hundreds of different cryptocurrencies that can be used to buy goods and services on the dark net.

Benefits of Using Cryptocurrencies to Make Payments on the Darknet

Let’s take a look at some of the benefits of using cryptocurrencies on the dark net.

Cryptocurrencies Always Provide a High Level of Anonymity

Cryptocurrencies by nature are decentralized. Which is why they are the perfect currency for the dark net. Cryptocurrencies aren’t regulated by any federal bank. This is why they offer a reasonable level of anonymity. Even on the surface web so when combined with a platform like the dark net, cryptocurrencies can be dangerous. The transactions on the blockchain are transparent. But they are recorded anonymously so the real identity of the person is never known.

In the past few years, to regulate the use of cryptocurrencies to some extent, the authorities have been trying to create a system where a link can be established between the cryptocurrency user and the transaction. However this thing may work on the surface web to some extent, it is almost impossible to apply it on the dark net. You don’t have to give any personal information on the dark net which keeps your transactions anonymous.

Crypto Mixers Can Be Used On the Darknet

Another thing that makes the use of cryptocurrencies so popular on the dark net is the availability of crypto mixers. Crypto mixers and tumblers are very famous tools available on the dark net which can add an extra layer of security for the users. Crypto mixers are also known as Crypto tumblers or crypto blenders and their main purpose is to blur the trail of the crypto transaction so that it becomes almost impossible to trace back the transaction. This is what makes it a perfect tool for payment on the dark net.

As clear from the name the crypto mixer mixes cryptocurrencies from multiple users. When you want to buy something on the dark net, you send the crypto to the crypto mixer’s deposit address instead of sending it directly to the seller. The crypto mixer then mixes your crypto with crypto from other users. Then the crypto is sent from the crypto mixer to the original address of the seller. So in short it breaks the trace between the buyer and the vendor. The people who provide crypto mixing services do charge a fee for their service. But if you want anonymity then this service is worth it.

There Are Now Crypto Currencies That Have Built-In Privacy Features

Even though Bitcoin started it all. There are now hundreds of different cyber currencies that are being traded on the dark net. Each of these cryptocurrencies has its unique features. Some of them like Monero are more focused on privacy. Using cryptocurrencies like Monero offers a high level of security and privacy which makes it an ideal option to be used on the dark net. Through the use of ring signatures, stealth addresses, and RingCT, Monero conceals the identities of senders and receivers, as well as the amount transferred. This robust anonymity set ensures that Monero transactions are truly untraceable, protecting users’ financial activities from prying eyes.

Monero is a cryptocurrency that guarantees that each unit is indistinguishable, preventing any risk of coin taintedness often associated with Bitcoin’s transparent transaction history. For those valuing financial confidentiality, whether for legitimate personal reasons or more dangerous motives, Monero’s superior privacy capabilities make it the cryptocurrency of choice over Bitcoin.

Are There Any Other Methods of Payment on the Dark Net?

The decentralized and anonymous nature of cryptocurrencies makes them the best option on the dark net. However, this begs a few questions; what other ways are there to make payments on the dark net and what did people use to make payments before Bitcoin was invented? Well, you might be surprised to know. But there are a range of different options that people choose to make payments on the dark net other than cryptocurrency.

Some payment methods like Liberty Reserve were used traditionally. But have now become obsolete as the service has shut down. Other traditional payments that are still used to some extent in today’s world include cash, bank transfer, and PayPal to name a few. Any platform that wasn’t strictly regulated or made it easy to make fake profiles was used to carry out and support transactions on the dark net.

What Did People Use Before Bitcoin on the Darknet?

Before Bitcoin was invented people used several different methods to pay for goods and services. These included cash, bank transfer, PayPal, eGold, and many other methods. Some people use a combination of these methods to make their payments more secure. While it is true that some of these payment methods offered some level of security. But they weren’t as secure and private as using cryptocurrencies. One more thing to know is that some people on the dark net still use some of these traditional methods in today’s world as well.

The high usage of cryptocurrency may make it feel like that it is the only currency on the dark net but that is not true. These traditional methods are less secure as they are more regulated. Government and authorities can track these payments to some extent however if the hackers use several different methods then they can mask their money trail.

One method that people used to get paid for their dark net goods and services was Liberty Reserve. You could make a profile on Liberty Reserve with minimal identity information. Once you made your account you could then buy digital currency and use that for payments. It wasn’t completely anonymous. However the fact that you only needed to provide minimal identity information meant that fraud could be easily committed. This is the reason Liberty Reserve was considered shady and a money laundering scandal resulted in the closure of the company.

One Very Popular Way to Make Payments on the Dark net was eGold

eGold was one of the earliest forms of digital currency services and also one of the popular ways to make payments for dark net goods and services. The website operated from 1996 to 2009. Like Liberty Reserve, it was closed due to legal issues concerning money laundering and payments for other illicit activities. You had to provide your identification before opening an account. However, there was very little regulation other than that which is why many people got away with making payments for illegal activities.

The way it worked was that users would open an eGold account by providing personal identification. And funding it with traditional currencies like U.S. dollars or euros. Once your eGold account had funds in it. It could then be used to make online payments to other eGold account holders without any hassle. The transfer was also instant which made it an attractive option for people looking to make online payments. It offered more privacy than traditional banks as you only needed to know the other person’s account number to make a transaction.

When governments started to implement strict KYC rules and anti-money laundering laws. It was just a matter of time before such platforms were going to get closed down. By nature, these platforms like Liberty Reserve and eGold could not comply with the AML and KYC regulations. Even if they did, there would have been a lot of baggage of past fraudulent activities that happened on the platforms. So the eventual shutdown of these platforms was inevitable. However, that gave rise to an even bigger problem for the law enforcement authorities. i.e. cryptocurrency.

Can I Use Cash To Make Payments on the Dark Net?

A lot of people on the dark net have moved to more secure payments like using cryptocurrency. But that does not mean that people on the dark net don’t use other payment options. There is still a very small proportion of people on the dark net who use cash to make payments on the dark net. It all depends on the service the person is buying. In most cases, both the vendor and the buyer want to carry out the transaction anonymously. But in some cases, you might want to hire someone. Who do you need to meet and make the payment in person? This is usually done when people hire contractors for criminal activities.

If you are buying something on the dark net and the vendor asks you to pay in cash. Then it is best to stay away from that vendor. It may be a criminal who is trying to know your identity. Or your address which he may then use to threaten you or blackmail you. So it can be dangerous to your physical well-being as well.

On the other hand, It can also be law enforcement authority personnel who may be trying to catch dark net users by asking you to meet in person for payment. So even if you aren’t doing anything wrong you can still get into trouble. So you can pay in cash. It is recommended never to use this option especially when there are other secure options available.

Bank Transfers and PayPal Are Also Used On The Dark net

In some cases, you can also make the payment on the dark net through bank transfer or PayPal transfer. The vendor on the dark net would give you a bank account or PayPal email address. These aren’t usually in the name of the vendor. For example, in the case of PayPal, the vendors might be using a hacked account. So when you send the money to their desired PayPal account they can then use it to buy different things online or they can even reroute it to their account.

In terms of bank accounts, if a vendor is experienced they wouldn’t ask you to send the money to their bank account. They would most probably use an account for which they have a fake ATM card. Some may even give you an account number for an overseas account. These days banking apps have really strong security. But if a hacker manages to hack a banking user’s banking app, they can also use that to get money and then reroute it to their bank accounts. Unlike cryptocurrency, these modes of payments can be easily tracked which puts both the vendor and the buyer at risk. Even if the hackers reroute the funds through several different accounts there will always be a money trail that would lead to them.

Things To Do When Making Payment On The Dark Web

There are several things you need to do and avoid when making payments on the dark web.

When you are visiting the dark web you should know that there is a high chance that the money you spend on the dark web might be stolen. And you may never get the thing you were buying. Make sure you are buying from an authentic dark web link as there are many scams and frauds out there that might take your money and leave you hanging. So when you are going to buy something on the dark net, do your research. And try to ask other dark net users for authentic links. There are different subreddits where you can find good dark net links.

Always use cryptocurrencies to make payments on the dark net. Any cryptocurrency is fine but it is always preferable to use a cryptocurrency like Monero that offers built-in security features. And always use a crypto mixing service to pay on the dark net. It is best to find a well-reputed crypto mixing service even if it charges more.

When you are on the dark net it is best to use crypto wallets that don’t expose your name or other information. Make sure you use crypto wallets that let you make accounts without having to register with your real name. The crypto wallets have to be as secure as the cryptocurrency transactions.

Never use your own debit card or credit card to make payments online. Not only can it expose your credit card information. But some hackers might even be able to get your personal information like your name and home address from there which can be used to blackmail you.

Never send someone money on the dark web through your or your family’s personal bank account. This can cause a lot of trouble for you and your family. Always remember that governments know when you access the Tor browser. So if they are suspicious of you they can align the time of you accessing the Tor browser. And the suspicious transaction from your bank account to another account.

There are genuine vendors on the dark web as well who sell legal products that are not dangerous. Even if you are buying something from these vendors try avoiding cash on delivery methods as it is always best to keep dark web vendors away from your home address. It’s not even safe to meet them in any public place as well.

Final Words

There are several different ways you can make payments on the dark web. However due to the more secure and private nature of cryptocurrencies. They are the best option for both vendors and buyers on the dark web.