The European Center for Cybercrime published a report on the analysis of the Wasabi bitcoin wallet regarding its use for laundering money obtained by criminal means.
The EU law enforcement agency is concerned about the growing popularity of the Wasabi Wallet, which offers a higher level of transaction confidentiality. According to the report by the European Center for Cybercrime, which used data from the analytical company Chainalysis, Wasabi wallet is extremely popular among darknet users. Over the past three weeks, about 50 million US dollars in bitcoins have been deposited into Wasabi accounts, with about 30% coming from dark markets, the report said.
The document tells how Wasabi works, examines the built-in bitcoin mixer based on Chaumian CoinJoin technology, which increases the level of transaction privacy and confidentiality. All Wasabi network traffic passes through Tor, which also increases the level of privacy. Mixing cryptocurrencies, that is, mixing coins from several transactions, and then breaking them and sending them to different addresses, helps to cover up traces of ownership.
According to the European Center for Cybercrime, the volumes of cryptocurrency passing through the Wasabi wallet can cause concern and require closer attention of law enforcement agencies.
The second part of the report is devoted to how to use the Wasabi wallet, how to track transactions on the blockchain, thus it is a kind of instruction for law enforcement officials.
As Europol explained, the report is written only for law enforcement officers and does not contain any operational information.