Data: Crypto-ransomware payments increased 311% in 2020

New data suggests that ransomware-related crypto payments are on the rise in 2020.

In its newly released annual crypto crime report, blockchain data firm Chainalysis said criminal addresses received 311% more cryptocurrency from ransomware in 2020 than in 2019.

The report also cautions that this is a conservative estimate, as Chainalysis may uncover more addresses associated with ransomware payments.

At the same time, cryptocurrency-related criminal activity has dropped significantly in 2020. The report states that criminal activity accounted for 2.1% of all cryptocurrency trading volume in 2019, or about $21.4 billion. In 2020, the proportion of criminal activity in cryptocurrency activity fell to 0.34%, or $10 billion in trading volume.

Despite the huge growth in ransomware-related payments, they still only accounted for 7% of crypto crime in 2020. The vast majority of cryptocurrency crime is related to darknet markets and general categories of scams.

The report also offers a possible explanation for the increase in ransomware-related payments in 2020. “Today’s pandemic-driven work-from-home environment has created new vulnerabilities for many organizations.”

According to reports from NPR and The Wall Street Journal, ransomware programs have been hitting hospitals and schools in droves during the outbreak as attackers look to exploit weak systems in vulnerable institutions.

Joshua Corman, a senior adviser at the Department of Homeland Security, told the Wall Street Journal that the concern about ransomware is not just a financial attack on medical facilities, but a threat to life safety.