The effect of COVID on cryptomarkets
In the months following the onset of the COVID-19 pandemic, the European Monitoring Center for Drugs and Drug Addiction (2020) observed an increased use of cryptomarkets, leading researchers to question whether cryptomarkets constitute a more practical channel for the distribution of illicit drugs since they make it possible to avoid physical contact. However, measures to counter the spread of the virus also led to border closures and it is possible that cryptomarkets were negatively affected by this change. This study measures and evaluates the success rate of cryptomarket transactions during the COVID-19 pandemic, using self-reported data on the outcome of cryptomarket transactions. To collect self-reported data on cryptomarket transactions, we launched a platform that allowed participants to provide information about past cryptomarket activities. The sample consists of 591 valid self-reports received between January 1, 2020, and August 21, 2020. Logistic regressions on cryptomarket data before and after the onset of the pandemic allowed us to observe any changes. We found that the increase in the number of failed transactions parallelled the global spread of the pandemic, while the international and intercontinental nature of the transactions was associated with delivery failure. It is probable that cryptomarkets for drugs have been disrupted due to the pandemic.