1. Seize and Desist?
The Evolution of Criminal Ecosystem 1 Year After Operation Bayonet
Michael Marriott – Digital Shadows

2. AlphaBay left a gap – but not as big as we might assume
Five Things to Cover
AlphaBay left a gap – but not as big as we might assume
Gap has not been filled by older marketplaces
Barriers to entry exist for new marketplaces
Alternative technologies and mechanisms for user trust
Shifts to peer-to-peer networks and messaging platforms

3. Defining dark web markets
Dark web is not the same as the deep web

4. Defining dark web markets
Dark web is not the same as the deep web
Ross Ulbricht’s Agorism and dark web market’s economic models

5. Defining dark web markets
Dark web is not the same as the deep web
Ross Ulbricht’s Agorism and dark web market’s economic models
ZZZZZZZZZZZZZ

6. Buy anything on the dark web

7. Homebrew Setup

8. Next Generation Homebrew Setup

9. Three Options For Purchasing
Specialist Store
+ Trustworthy
- Expensive

10. Three Options For Purchasing
Specialist Store
Craigslist
+ Trustworthy
- Expensive
+ Cheap
- Risk of scam

11. Three Options For Purchasing
Specialist Store
eBay
Craigslist
+ Trustworthy
- Expensive
+ Cheaper than specialist store
+ Less risk than craigslist
+ Cheap
- Risk of scam

12. Three Options For Purchasing
Specialist Store
eBay
Craigslist
+ Trustworthy
- Expensive
+ Cheaper than specialist store
+ Less risk than craigslist
+ Cheap
- Risk of scam

13. “goal is to become the largest eBay-style underworld marketplace”
Dark Web Marketplaces and the eBay Model
Alexandre Cazes:
“goal is to become the largest eBay-style underworld marketplace”

14. The Takedown and the Fed Trap

15. Three Possible Outcomes
Existing dark web market fills the gap
New marketplaces are created
Alternative models: new technologies and mechanisms restore trust

16. Existing dark web market fills the gap

17. Dream

18. Dream

19. Olympus

20. Olympus Has Fallen

21. New marketplaces are created

22. Markets take time: Market.ms

23. Rent a Store

24. Hosting Services

25. CAPTCHA Software

26. Hidden Costs of Dark Web Markets
Monthly Cost
Annual Cost
Hosting
$250
$3000
Advertising
$100
$1200
Design Template $8
$54
CAPTCHA services $3
$36
Onion Domain -
$10
Total
 $361
$4332 
Need $216,000 transactions a year to break even at 2% COMMISION
At 2% commission – need to generate over $200,000 sales a year to break even

27. New technologies and mechanisms restore trust

29. Blockchain DNS the Future? Joker’s Stash

30. OpenBazaar 2.0 Users and Items For Sale

31. Domain Concealment: Genesis Market

32. Migration to P2P and Chat - Telegram
Another notable shift has been the adoption of Telegram. One such example is the OLIMP marketplace, a Telegram based marketplace that provide fraudulent services, like holidays. Over the last six months, we’ve detected over 5,000 Telegram links shared across criminal forums and dark web sites, of which 1,667 were invite links to new groups. These covered a range of services, including cashing out, carding and crypto currency fraud.  

33. Migration to P2P and Chat- Telegram
Another notable shift has been the adoption of Telegram. One such example is the OLIMP marketplace, a Telegram based marketplace that provide fraudulent services, like holidays. Over the last six months, we’ve detected over 5,000 Telegram links shared across criminal forums and dark web sites, of which 1,667 were invite links to new groups. These covered a range of services, including cashing out, carding and crypto currency fraud.  

34. Looking Forward

35. Secure Communications User Experience
Five Drivers
Adoption
Content Control
Vendor Attraction
Secure Communications
User Experience

36. One to look out for

37. Questions?