The US Department of Justice (DOJ) has cracked down on a major dark web drug operation, seizing $100 million in cryptocurrency.
Incognito Market: The Dark Web Drug Bazaar
In October 2020, Incognito Market emerged as a dark web marketplace for illegal narcotics. It allegedly facilitated over $100 million worth of crypto transactions in drugs, including cocaine and methamphetamines.
Lin: The Alleged Dark Web Drug Lord
Rui-Siang Lin, a 23-year-old from Taiwan, is accused of owning and operating Incognito Market under the aliases “Pharoah” and “Faro.” He oversaw all operations, including employees, vendors, and customers.
Modus Operandi: E-Commerce for Drugs
Incognito Market operated like a legitimate e-commerce site, complete with branding, advertising, and customer service. Users could log in with unique credentials and browse thousands of drug listings.
Vendor Network and Profits
Vendors registered on the site and paid an admission fee. They then paid 5% of their sales to Incognito Market. Lin allegedly accumulated millions in profits from this operation.
Crypto Transactions and Digital Banking
The marketplace had a “bank” where users could deposit crypto assets. After transactions, crypto was transferred from buyers’ to sellers’ accounts, with Incognito Market taking a 5% fee.
Lin’s Arrest and Charges
Lin was arrested on May 18th at JFK Airport. He faces charges of narcotics conspiracy, money laundering, and conspiracy to distribute narcotics. If convicted, he could face severe penalties, including life imprisonment.
