Financial safety

Virtual cash helps cyber-thieves launder money, research suggests

Crypto-currencies and digital cash systems have become a key way for cyber-thieves to launder stolen funds, suggests research.

Alongside its use in ransomware, virtual cash was also helping clean up other sources of stolen cash, said criminologist Dr Mike Maguire.

Bitcoin's anonymity made it attractive to tech-savvy thieves, he said.

Dr McGuire drew on interviews with cyber-thieves, police reports and dark web searches for the study.

Hard to trace

Between $80bn (£57bn) and $200bn of cash generated by cyber-crime is laundered every year, said Dr McGuire drawing on a study by US analyst firm Rand released in early 2018.

A significant chunk of that cash is piped through various crypto-currencies and digital payment systems in a bid to hide its origins, said Dr McGuire, who carried out the research for security firm Bromium. The study sought to understand the wide range of methods that cyber-crime gangs used to clean up cash they extract from individuals and businesses.