Crypto, stablecoins being used to fund drug, gold smuggling: DRI

The use of cryptocurrency for illicit payments and transfer of proceeds of crime particularly in drug and gold smuggling cases has surged in recent years, with stablecoins like USDT increasingly replacing traditional hawala networks, a DRI report said on Thursday.

The Smuggling in India report 2024-25 by the Directorate of Revenue Intelligence (DRI) said unlike traditional financial channels, cryptocurrencies enable rapid, hard-to-trace international transfers, bypassing formal financial oversight.