Dirty Money 💰

Table of Contents

Dirty Money

If you’ve ever watched the hit Netflix series Ozark, then you know exactly what money laundering is. In Ozark, a clever accountant named Marty Byrde gets caught up in some drama and is forced to launder money for the cartel to save his family. Money laundering is the practice of converting vast sums of money earned from criminal activities into legitimate funds. This practice of converting dirty money into clean money is highly illegal and is a growing concern in the NFT community. 

Many investors who remain skeptical about NFTs often point out that they are used to launder money–and they are correct. According to a report released by blockchain data platform Chainalysis, a small but growing amount of activity on NFT marketplaces can be attributed to money laundering. How did Chainalysis determine this?

The company tracked the capital sent to NFT marketplaces from cryptocurrency addresses linked to illegal activities. They found roughly $1.4 million in laundered money in Q4 2021, up from about $416,000 in Q1 2021–over a 200% increase in under a year.

The $1.4 million in laundered money pales in comparison to the $8.6 billion in crypto-based money laundering Chainalysis detected last year. Still, NFT money laundering poses a threat to the building of confidence and trust in NFTs. As the popularity in NFTs grows, it’s important for marketplaces and regulators to monitor the space.

If you remain skeptical about NFTs, is money laundering one of your main concerns?

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:
More Posts
From One Rock to Another 🚀
25 September, 2023

NASA’s OSIRIS-REx mission, after a seven-year journey, successfully captured and delivered asteroid samples.
Too Much Debt  💳
25 September, 2023

Rising credit card debt and delinquencies have created losses for credit card companies.

Load More
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Facebook Twitter Youtube Instagram Snapchat Tiktok
learn
products
plan
Who we are
blog

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.