Blockchain technology is becoming an important tool for tracking and preventing international smuggling activities, especially those involving fentanyl.
Fentanyl is a highly dangerous synthetic opioid. Blockchain can track the activities of criminal organizations involved in fentanyl trafficking, from Chinese chemical suppliers to drug cartels in Mexico and North America, through transparency.
Blockchain, the Achilles' heel of fentanyl crime
As known, blockchain operates as an immutable digital ledger that records all transactions transparently and permanently. This technology helps to increase trust and efficiency through transparent transactions and quick distribution of funds for charitable activities.
This has created a significant weakness for fentanyl smuggling organizations. These criminal groups often use cryptocurrencies to conduct cross-border transactions quickly and anonymously.
According to Chainalysis, blockchain's transparency allows investigators to track transactions related to fentanyl. They track the flow of funds from Chinese chemical suppliers to Mexican drug cartels, such as the Sinaloa Cartel and Jalisco New Generation Cartel (CJNG).
Authorities in the Eastern District of Wisconsin seized over $5.5 million in cryptocurrency connected to money laundering networks involving Mexican drug cartels and Chinese chemical suppliers.
Chainalysis used analysis tools to track fund flows from centralized exchange accounts and suspicious cryptocurrency addresses. They discovered that fentanyl traffickers use cryptocurrencies, especially Bitcoin (BTC) and stablecoins, to purchase precursor chemicals from Chinese suppliers.
These substances are sent to organizations like Mexican cartels to produce and distribute fentanyl in the United States. Dark net markets (DNM) also play a crucial role in this network.
According to the 2025 Chainalysis Crypto Crime Report, Abacus Market is one of the largest dark net markets targeting Western customers. In 2024, it recorded $43.3 million in on-chain transactions, becoming the highest-revenue market on the dark web.
Some dark net markets prohibit fentanyl sales in their terms of service. However, many sellers bypass these restrictions by selling substances containing fentanyl or derivatives like nitazenes.
