Lecture 3 : Online Drug Markets Flashcards
What are some key features of drug cryptomarkets
Don’t feel i need to learn
Anonymization services such as Tor Browser or Tor & I2P.
Use of cryptocurrencies for transactions.
Encrypted communication channels.
Escrow services to ensure transaction security.
Customer ratings and comments for product feedback.
Drugs delivered through postal services.
What is a notable characteristic of bitcoin transactions
Bitcoin transactions involve no intermediaries, operating directly between sender and receiver within the peer-to-peer network
(No middleman)
What type of system does bitcoin operate on
Bitcoin operates on a peer-to-peer system, allowing direct transactions between users without the need for intermediaries like banks
How are bitcoin transactions verified and recorded
blockchain
What is an escrow service?
a third-party intermediary that holds funds during a transaction until both parties meet their obligations. (Seller and Buyer)
What was the name of the first cryptomarket
Silk Road
What was the average lifespan of cryptomarkets
on average, remained active for just over eight months, with a mean of 8.5 months and a standard deviation of 10.1 months
What is the most common reason for the closure/why they stopped of cryptomarkets
Exit scams
What is a exit scam
where the administrators leave with the money in escrow, account for the majority of closures
what is a voluntary exit
market closed with the mutual consent of those involved and without losses to users
What are the four stages of the lifecycle of cryptomarkets
Infancy - launch + marketing
Adolescence - modest growth + stabilisation
Maturity - realise greatest potential
Death - closure
What was primarily sold on Silk Road?
Weed was one of the primary substances sold on Silk Road
What was the geographic location of the highest origin and acceptable destination for Silk Road transactions
The highest origin for transactions on Silk Road was the USA, while the highest acceptable destination country was also the USA.
What was the customer satisfaction rate on Silk Road?
with most customers being very happy, rating their experience as 5 out of 5
Why do some people choose to purchase from Silk Road
SR offers a wider range of drugs than they can usually access.
SR drugs are perceived to be of better quality than what they can normally access.
It is more convenient to order drugs online.
They feel more comfortable buying from sellers with high ratings
