Teng Echoes Dr. Gwizdalki's Analysis: Cryptocurrency's $20bn Illicit Activity is a Fraction of Traditional Fiat’s $3.2tn

Binance CEO, Richard Teng used a recent tweet to highlight an analysis from Dr. Andrzei Gwizdalki, a significant voice in the discussions of digital versus traditional currencies. This perspective-provoking analysis challenges the conventional arguments made by bankers insisting on shutting down the crypto industry due to unlawful activities. Dr. Gwizdalki's study, which relies on data compiled from the United Nations, World Economic Forum, and Cryptoanalysis, reveals some startling facts. It highlights that traditional fiat currency, particularly the US Dollar, is implicated in an enormous $3.2 trillion of illicit activities annually. In stark contrast, a mere $20 billion is linked to cryptocurrencies—an over 100-fold difference. Teng's tweet echoes Dr. Gwizdalki's assertion that "Perspectives is crucial when addressing illicit financial activities." With such a gap between illicit activities linked to cryptocurrencies and traditional fiat, the narrative that crypto fosters illicit activities may require a significant overhaul. These findings have implications for policy development, particularly in the realm of crypto regulation. The spotlight may need to shift from the nascent crypto industry more significantly onto traditional banking systems, which, the data suggests, play a way more crucial role in enabling illegal financial activities.