Research: Marketplaces on the dark web processed more bitcoin than BitPay in 2014

Kyle Soska and Nicolas Christin from Carnegie Mellon University revealed that marketplaces on the dark web frequently processed more bitcoin transactions than BitPay last year.

“In the short four years since the development of the original Silk Road, total volumes have reached up to $650,000 daily (averaged over 30-day windows) and are generally stable around $300,000–$500,000 a day, far exceeding what had been previously reported.” said Mellon University.

BitPay’s self-reported annual total, $158.8m, would produce a daily average of around $435,000.

Previous studies have relied on the total number of listings on each site, however Christin and Soska estimated sales volume using sellers’ feedback scores, with each review counting as one product sold.