Bitcoin-Fueled Darknet Marketplace Vanishes in Possible Exit Scam
The darknet marketplace Abacus Market, which commanded around 70% of the market share across all Bitcoin-enabled Western darknet marketplaces in 2024, has gone offline in an apparent exit scam. Its website and infrastructure, including its clearnet mirror, are inaccessible, according to a report by TRM Labs on Monday.
The disappearance has led TRM to believe that the operators have likely conducted an exit scam, shutting down operations and disappearing with users' funds. The closure could be the result of attention from law enforcement, as Abacus Market clocked a monthly record after the closure of Archetyp Market, one of the longest-running dark web marketplaces, in mid-June.
In late June, users began reporting withdrawal issues, which prompted the Abacus administrator known by the handle “Vito” to assure users that the problems were merely a result of an influx of new people and a distributed denial-of-service attack. However, despite the assurance, users began fleeing in droves, and daily deposits dropped significantly in the final weeks.
Abacus offered a wide range of illicit drugs, including stimulants, psychedelics, unlicensed pharmaceuticals, and operated a central deposit wallet that supported both Bitcoin (BTC) and Monero (XMR). The marketplace was one of the top darknet marketplaces dealing in Bitcoin, with daily deposits reaching an average of $230,000 in most of June before dropping to just $13,000 from June 28 to July 10.
The closure of Abacus Market has led TRM Labs to speculate that the operators could have also "lost motivation to continue" or chose to exit the ecosystem to "preserve their freedom and financial gains." The firm noted that previous administrators of other dark market operators who voluntarily exited, such as those at ASAP Market and Agora Market, or conducted exit scams, managed to escape without being caught by law enforcement.
TRM Labs also suggested that there is a chance that law enforcement covertly seized the marketplace and are staying quiet about the operation while they compile evidence and track down those involved. However, the firm added that the administrator of the dark web discussion forum Dread, who was in close contact with the Abacus team, has cast doubt on law enforcement being behind the marketplace's disappearance.
It is worth noting that a similar situation played out after ASAP Market’s voluntary closure in July 2023, with a 20% increase in Abacus’s volume compared to the month before. Its share of the Bitcoin-supporting Western dark market ecosystem also spiked to over 70%, following ASAP’s closure and the law enforcement seizure of Incognito Market in March 2024.
During its four years of operation, Abacus generated nearly $100 million in Bitcoin sales, but TRM Labs said that’s because privacy coin Monero accounted for a large volume of sales, its actual total could be between $300 million and $400 million. The disappearance of Abacus Market has left users stunned and wondering what will happen to their funds.
TRM Labs stated, “Marketplaces that reach the top of the ecosystem, in terms of volume, user base, listings, and reputation, often become priority targets for law enforcement.” The closure of Abacus Market serves as a reminder of the risks involved in using darknet marketplaces and the need for users to be cautious when dealing with these types of platforms.
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