As the world gears up for what experts are calling the largest global election year in history, a new report has shed light on a troubling trend – the use of cryptocurrency to finance and facilitate disinformation campaigns worldwide.
The study, released today by blockchain intelligence firm Chainalysis, reveals an intricate web of state and non-state actors leveraging digital currencies to spread false information and sow discord, especially in the lead-up to crucial elections.
“We’re seeing a sophisticated nexus between cryptocurrency and disinformation that poses a significant threat to democratic processes globally,” said Sarah Johnson, lead researcher at Chainalysis. “This isn’t just about tracking money anymore—it’s about safeguarding the integrity of information ecosystems.”
The report named organisations spreading disinformation. The bad actors identified include SouthFront, a Russian disinformation outlet sanctioned by the United States Treasury’s Office of Foreign Assets Control (OFAC), and Islamic World News (ISWN), an Iranian media entity with ties to the Islamic Revolutionary Guard Corps. Both organisations have been found to solicit cryptocurrency donations to fund their operations.
The report also highlights the role of technology services in enabling these campaigns. Ubar Store, a marketplace for stolen social media accounts, and Shinjiru, a Web hosting service known for its anonymity features, both accept cryptocurrency payments. These services provide the infrastructure needed to create and amplify fake news at scale.
Perhaps most alarming is the report’s revelation of mutual donation patterns among disinformation groups. One donor, for instance, sent over US$43,000 in Bitcoin to multiple pro-Russian organisations, including a paramilitary group called MOO Veche.
For policymakers and law enforcement agencies, the report offers a way to track and shut down the disinformation perpetrators.
It details how blockchain analysis techniques can be used to trace these financial flows and potentially disrupt malign influence networks. A case study on the takedown of the 911 S5 botnet demonstrates the effectiveness of these methods.
As nations worldwide, including Singapore, prepare for national elections, the findings underscore the urgent need for enhanced regulatory frameworks. International cooperation is crucial to combat this evolving cross-border threats.
