Wondering what cryptocurrency mixers are? These are tools which let transactions be carried out anonymously, and the senders and receivers are not identifiable. A lot of people have been using these mixers as the cryptocurrencies lose value. There have been instances of many addresses which fall under the illicit heading. Hackers and regular users are using these mixers regularly to stay under the radar.
In a report released by an analytics firm, data reveals that the total daily value handled by mixers touched a high of ca. $52 million as of April 30, 2022. This figure is double the volume tracked during the same period in 2021. According to the report, close to 10% of funds are from illicit addresses and funneled through crypto mixers. Data from Q2 of 2022 revealed that funds sent through mixers are stolen and from stores dealing in fraud.
The fact is that mixers are not illegal intrinsically, but this could change as regulators are looking at ways to change things. In March 2022, the National Crime Agency, a UK agency, expressed interest in trying to regulate mixers. This is with the aim to ensure compliance with anti-money laundering laws.
In May 2022, Blender.io, a crypto mixer firm was fined by the US Treasury department for its role in the Axie Infinity debacle. In this case, more than $620 million worth of digital assets were stolen. In other news, Tornado Cash, another crypto mixing company made their source code dealing in user interfaces available to interested parties.