The U.S. Federal Court has handed down a heavy sentence to Rui-Siang Lin, the founder of the “Incognito Market,” for operating an online dark web drug trafficking platform based on cryptocurrency. He was sentenced to 30 years in prison and confiscated $105,045,109 in illegal proceeds. This case is regarded as one of the most serious law enforcement actions against “cryptocurrency dark web drug markets” in recent years.
According to the Southern District of New York Prosecutor’s Office, Incognito Market operated from October 2020 until its shutdown in March 2024. Relying on a cryptocurrency payment system and an internal transfer mechanism called “Incognito Bank,” it provided anonymous trading services to users worldwide. The platform facilitated over 640,000 transactions, with a total value exceeding $105 million. It had more than 400,000 registered buyers and over 1,800 sellers.
Investigations revealed that the illegal items sold on the platform were primarily drugs, including heroin, cocaine, LSD, MDMA, methamphetamine, ketamine, alprazolam, and counterfeit prescription medications. Many “oxycodone” products were actually fentanyl, which directly caused at least one death and affected hundreds of thousands of families.
Judge Colleen McMahon stated during sentencing that Rui-Siang Lin’s actions constituted a “transnational digital drug empire,” emphasizing his use of blockchain’s anonymity features to conceal the flow of criminal funds. Prosecutors also disclosed that before the platform was shut down, Lin embezzled user funds and attempted to blackmail users by threatening to expose transaction records.
This case also echoes recent law enforcement actions against “cryptocurrency money laundering on the dark web,” including asset seizures of Helix mixers and BidenCash black market. The U.S. Department of Justice announced that it will continue to strengthen regulation and crack down on “dark web cryptocurrency crimes,” “Bitcoin money laundering channels,” and anonymous payment systems.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Polymarket predicts that the probability of Bitcoin falling to $65,000 in March has increased to 49%.
Gate News, on March 22, as Bitcoin briefly dropped below $69,000, the prediction probability of "Bitcoin falls to $65,000 in March" on the Polymarket prediction market rose to 49%. Additionally, the probability of predicting Bitcoin falling to $60,000 is 16%, and the probability of predicting it rising to $80,000 is 12%.
GateNews23m ago
Bitcoin Options Signal Concern Even as ETF Outflows Remain Relatively Low
Bitcoin price (BTC) maintained a sideways trend around the 70,000 USD level during Friday's trading session, after failing to reclaim the previous 75,000 USD milestone. This movement coincides with two consecutive sessions recording net capital outflows from U.S. spot Bitcoin ETF funds, thereby reversing the trend.
TapChiBitcoin30m ago
Bitcoin Mining Difficulty Adjusts Down 7.76% to 133.79T, Creating Second-Largest Decline This Year
Bitcoin mining difficulty declined by 7.76% to 133.79 T on March 21, marking the second-largest drop this year. JPMorgan Chase analysts forecast that Bitcoin mining costs have fallen to $77,000, still above spot prices. An increasing number of mining companies are redirecting infrastructure toward AI computing power. Core Scientific plans to sell its Bitcoin holdings in 2026 to fund AI expansion, while Bitdeer has liquidated its Bitcoin position. Multiple companies are formulating diversification strategies.
GateNews41m ago
Why JPMorgan's $266K Bitcoin Target Makes Sense as Institutional Demand Strengthens, Expert Insight
JPMorgan’s $266,000 bitcoin projection is being interpreted as a strategic signal to institutions, revealing how bank-grade research is shaping allocation behavior rather than simply forecasting price direction.
JPMorgan’s $266K Bitcoin Target Holds up Under Expert Market Scrutiny
Market
Coinpedia55m ago
In the past 1 hour, the entire network liquidated @2.48@ billion USD, with BTC liquidations of @1.09@ billion USD.
Gate News, on March 22nd, Coinglass data shows that in the past 1 hour, the entire network has liquidated $248 million, of which long positions liquidated $232 million and short positions liquidated $16.36 million. By coin type, BTC liquidations reached $109 million and ETH liquidations reached $83.73 million.
GateNews1h ago
