WASHINGTON—More than $5 billion in Bitcoin transactions were linked to ransomware payments during the first half of 2021, according to a new report from the U.S. Financial Crimes Enforcement Network (FinCEN).
According to FinCEN, 635 reports and 458 ransomware transactions were reported as of June, more than the total incidents from the previous year. Most of these payments were made with Bitcoin, although the report logged a slight increase of payments made in Monero, the privacy-focused cryptocurrency, Pymnts.com noted in its analysis.
The report also found that most of the funds collected through the payments were directed to entities using “chain hopping,” a practice involving changing one cryptocurrency to another to avoid detection by law enforcement.
FinCEN cautioned organizations to file a suspicious activity report as soon as possible following a ransomware attack and to implement detection systems into their defense systems.
Much Higher Than Treasury Figure
The organization's $5.2 billion figure is considerably higher than the $590 million in suspected ransomware payments the U.S. Treasury recently reported, Pymnts.com noted.
Ransomware attacks in North America increased by 158% between 2019 and 2020, with the FBI getting nearly 2,500 ransomware complaints last year, Pymnts.com said.