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Dropgangs, or the future of darknet markets

445 pointsby arikrover 6 years ago

31 comments

grugqover 6 years ago
Dead drop based drug distribution doesn’t scale to retail levels. It is used in Moscow and I know of people who will order from a dealer, then search the surrounding area and clear out all the drops they find. It works for them, although one questions the sanity of stealing from Russian drug dealers.<p>For more practical guides on how people who sell drugs avoid the negative repercussions:<p>• AlpraKing’s business guide is hard to beat. <a href="https:&#x2F;&#x2F;archive.is&#x2F;K7j1U" rel="nofollow">https:&#x2F;&#x2F;archive.is&#x2F;K7j1U</a> (It’s a great business guide in general, actually)<p>• Gary Cooper’s Never Get Busted Again and Never Get Raided Again shows practical use of dead drops for dealing.<p>Busted: <a href="https:&#x2F;&#x2F;m.youtube.com&#x2F;watch?v=ZyAjLkBCWKI" rel="nofollow">https:&#x2F;&#x2F;m.youtube.com&#x2F;watch?v=ZyAjLkBCWKI</a><p>Raided: <a href="https:&#x2F;&#x2F;m.youtube.com&#x2F;watch?v=ML6VAy_ygVs" rel="nofollow">https:&#x2F;&#x2F;m.youtube.com&#x2F;watch?v=ML6VAy_ygVs</a>
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monotone666over 6 years ago
Dead drops can’t compete with USPS. They require a court order to open your package and even then can’t charge anyone with possession. All they do is send you a “love letter” and people have reported receiving future packages just fine.<p>Millions of people use dark net marketplaces. The war on drugs has fueled their growth and more serious crimes like identity theft have benefited from it.
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crowbahrover 6 years ago
Very interesting reading the obstacles faced by the black market drug trade and how they&#x27;re overcoming them. It seems like the producer layer is most susceptible to penetration as it is essentially identical to most gangs. It&#x27;s entirely glossed over here but procuring the product seems like a difficult problem for an anonymized distributor: How do you make sure the product gets to your support layers?<p>As interesting as it all is, it&#x27;s also very concerning for Law Enforcement. While petty things like drugs don&#x27;t really worry me much, the advances in the anonymized distributed networks like this do mean that things that previously required big budgets of national intelligence agencies become easier for common malcontents to use. The article essentially describes a quintessential terror cell structure, but with the added benefit of 0 direct interaction. The separation of layers has always existed with limits (IE you had to have some form of communication) but this potentially allows for goods and services to easily be passed from fully anonymized layers to others without every having any interaction at all.
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mirimirover 6 years ago
It&#x27;s cool to see serious tradecraft applied to this stuff. Especially compartmentalization.<p>And yes, using traditional shipping systems is a serious problem for old-school dark markets. I&#x27;ve thought off and on for several years about the potential for using dead drops with accurate GPS. I mean, geocaching. Many years ago, when I was dealing LSD, it was pretty common to use dead drops. But then, they were typically rental lockers in bus and train stations.<p>I agree that ubiquitous surveillance is a problem. However, it&#x27;s ~clueless customers and low-level distributors who&#x27;ll most likely get pwned. And they won&#x27;t know anything important about the operation overall.<p>Anyway, time will tell.
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3131sover 6 years ago
&gt; <i>“The Silk Road” was the first of a phenomenon that became widely known: Darknet Markets.</i><p>The history is way off here, Silk Road was one of the first two completely public darknet markets (the other being the short-lived Open Vendor Database) but there were private darknet markets long before, e.g. The Farmer&#x27;s Market.<p>&gt; <i>Use of the Internet to facilitate the marketing and sales of physical goods - drugs, weapons, false identification papers - began latest in the late 1990s, but usually focused on local geographic markets in major cities. This was due to the fact that payment and delivery still required in person meetings.</i><p>Not so, back then and still to this day drug dealers simply throw a stack of cash in the mail. The clearnet markets for &quot;research chemicals&quot; all operated this way and went basically unchecked until Operation Web Tryp in 2004, which began an era of harsher enforcement of the Federal Analogue Act.
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yownieover 6 years ago
Few years ago it was revealed USPS was photographing all senders and recipient addresses on all mail in order to &#x27;backtrack&#x27; packages in order to aid in investigations.<p><a href="https:&#x2F;&#x2F;www.offthegridnews.com&#x2F;privacy&#x2F;vast-postal-surveillance-system-tracking-mail&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.offthegridnews.com&#x2F;privacy&#x2F;vast-postal-surveilla...</a>
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GistNoesisover 6 years ago
How do you defend against the eye in the sky, video surveillance or location tracking ? There seems to be conflicting objectives. When hiding an object you don&#x27;t want too many people around to see where you hide it. Yet if you record only two person going to exactly the same non standard spot it&#x27;s pretty much a red flag, then you follow the person in the recording to identify them. Most buildings are probably not valid because they can&#x27;t be entered easily by both parties.
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zzzcpanover 6 years ago
Using telegram for communications with customers also allowed marketing to escape darknet forums and into the walls of public places. Normal people don&#x27;t even need to know about darknet to buy drugs and what those @usernames on walls are is becoming common knowledge.
jorblumeseaover 6 years ago
The biggest flaw here is the dead drop system. It doesn&#x27;t scale well and involves many more complex steps and people in the system.<p>For example, a drone on surveillance duty that continuously watches the area will be able to identify patterns and pick out possible outliers. Combined that video feed with machine learning and it may be possible actively identify dead drop participants.
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panarkyover 6 years ago
Anonymous, decentralized transactions using dead drops only works with side-channels for reputation, or with security deposits.<p>Side-channels for reputation like posting cryptographic proof on darknet forums isn&#x27;t scalable or reliable.<p>And security deposits without a third-party adjudicator just move the trust issue around without eliminating it.<p>One ideal solution could be a cryptocurrency with on-chain confirmation of the real-world transaction by both parties after the fact.<p>When both parties to the transaction can point to a series of successful transactions through a web of trust, then the central marketplace for reputation or escrow is no longer needed.
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drcodeover 6 years ago
I wonder if dark web markets will ever establish a comprehensive alternative parcel system... that seems like the natural, final extension of these ideas. The technical challenges to this would of course be significant (I&#x27;ll refrain from listing them and suggesting potential workarounds since I don&#x27;t really want to give anybody any specific ideas on this LOL)
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bittermangover 6 years ago
The elephant in the room that this article highlights, but never addresses.<p>A mobile phone has become a de facto a requirement for illegal commerce, as described, and to me presents a pretty huge single point of failure.<p>And yes, I know, EVERYBODY has a phone. But I don&#x27;t. Why would I want to carry a police officer in my pocket? Especially if I&#x27;m a criminal.
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keithnzover 6 years ago
Kind of interesting distribution is kind of like darknet geocaching. I wonder how much accidental discovery occurs.
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chrisweeklyover 6 years ago
Excellent summary. I&#x27;m reminded of the old saw, &quot;The future is already here, it&#x27;s just not evenly distributed&quot;.
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JohnJamesRamboover 6 years ago
Dead drops sounds like an awful way to distribute anything at scale. The loss from other people finding stuff seems enormous also.
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golergkaover 6 years ago
Once again, I&#x27;m completely surprised how behind is western dark market world compared to Russia in that regard. Tor-based marketplaces with dead drops in parks and around the city have been around since 2013 and are now the only practical way to buy any drugs. Telegram channels have been widely used since at least 2015. Any city park has police squads patrolling the exits at night - they search people, open up your phone and look up Telegram and Tor apps if they suspect you&#x27;ve gone there to get a drop. Drops (they&#x27;re actually called &quot;buried treasure&quot;, or &quot;klad&quot; here) moved from parks to the city - you get instructions, for example, to go to some floor of a random apartment building, stop the elevator and search for a magnet-attached package behind it&#x27;s doors.<p>I don&#x27;t think that this article doesn&#x27;t do a good job on the risk model because it doesn&#x27;t understand how law enforcement operates - at least in Russia, the picture is completely different. Law enforcement has KPIs to catch some amount of drug dealers and users, and they have developed ways to do this reliably. So, instead of intercepting communication between the drug sellers and drug buyers, they prefer to work together with sellers (taking considerate money for &#x27;protection&#x27;) and arrest some proportion of buyers when they go for the drop.
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bfullerover 6 years ago
Russian darkmarkets started using dead drops years ago if I recall correctly
stcredzeroover 6 years ago
<i>The current method of reporting sales experience on forums is open to spamming and manipulation since it is hard to show that a deal even took place.</i><p><i>It is likely that forums and merchants develop best practices to solve this problem. There is the potential that merchants will start to issue “proofs of sale” in a cryptographic form, that customers then use to make statements about the performance of the merchant in public forums.</i><p>Could a blockchain or some other kind of public ledger be used to create a public sales rating record? I don&#x27;t see how such a thing can respond to spamming and deliberate manipulation, however.<p>Another thought I just had: could some combination of drones and self driving cars revolutionize dead drops?
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sigmaprimusover 6 years ago
My biggest problem with using the Darknet, messaging apps, or old school methods such as dial a dope or hitting up the guy on the street corner to buy drugs is the same. How can I really trust someone willing to break the rules and sell drugs or other non legal goods? You lay down with dogs you get fleas!! Last thing I would want is to eat, smoke or snort something from someone I have never met even if they have a 5 star rating on a darknet review board. Don&#x27;t even get me started on messaging out to someone whos&#x27; contact info is written out next to a pay phone or on a bathroom wall and the likes!
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kahlonelover 6 years ago
My vision was distorted for full 30 seconds after reading this page.
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DonHopkinsover 6 years ago
Pokemon Blow!
tomcooksover 6 years ago
Been a big fan of this author since the cypherpunk podcast, strange to see &quot;smuggler&quot; reveal his real (?) name.
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DoctorOetkerover 6 years ago
Is this how people will deal food during a food scarcity in a previously developed society?
rayrrrover 6 years ago
When Pokemon Go hit, it was impossible not to notice in public. Just a thought.
jimb1over 6 years ago
Yes, I am also quite impressed at the amount of thought that has been put into this concept. I would be quite interested in helping in designing these systems, as I have been following some of the necessary technologies for years. Jim<p>I foresee a stiff plastic or metal pipe, tapered to a point at one end, which can be driven by force into soil or into a lawn, so that it ends up to be approximately flush with the plane of the soil. Once placed, a smaller cylindrical container, as well as active elements, if needed, can be slid into the metal pipe, from above.<p>From the linked article: <a href="https:&#x2F;&#x2F;opaque.link&#x2F;post&#x2F;dropgang&#x2F;" rel="nofollow">https:&#x2F;&#x2F;opaque.link&#x2F;post&#x2F;dropgang&#x2F;</a><p>&quot;This challenge is met by Dropgangs in various ways. The primary one is that the documentation of each dead drop is conducted in minute detail, covering GPS coordinates, photos of the surrounding and the location, as well as photos of the concealment device in which the product is hidden (such as an empty coke can). The documentation however increases the risk for the Dropgang since whoever creates it would be more easy to identify by surveillance. In addition, even great documentation still requires the customer to understand it and follow it precisely, which can lead to suspicious behavior around the dead drop location (staring at photos, visually comparing them to the surrounding, etc).&quot; [end of partial quote]<p>Ordinarily, smartphones that use GPS, don&#x27;t use accurizing features, such as WAAS. (Wide Area Augmentation System).<p>See <a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Wide_Area_Augmentation_System" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Wide_Area_Augmentation_System</a><p>WAAS correction data is probably already available on the Internet. &quot;Accuracy[edit] The WAAS specification requires it to provide a position accuracy of 7.6 metres (25 ft) or less (for both lateral and vertical measurements), at least 95% of the time.[2] Actual performance measurements of the system at specific locations have shown it typically provides better than 1.0 metre (3 ft 3 in) laterally and 1.5 metres (4 ft 11 in) vertically throughout most of the contiguous United States and large parts of Canada and Alaska.[3] With these results, WAAS is capable of achieving the required Category I precision approach accuracy of 16 metres (52 ft) laterally and 4.0 metres (13.1 ft) vertically. [end of partial quote]<p>WAAS might be described as a form of differential GPS. If the location as computed by the smartphone was improved by WAAS, the statement above indicates an accuracy within about 1 meter.<p>IR-specific retroreflectors to greatly simplify things.<p>The article describes complicated systems using Bluetooth or WiFi to help locate these dead-drops. While they are certainly innovative, they add cost and complexity to the hardware involved. I have thought of a much-cheaper system that I feel is sufficiently secure and simple for common use.<p>Light-retroreflectors are commonly made from Scotchlite <a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Retroreflective_sheeting" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Retroreflective_sheeting</a> or plastic molded corner-cubes. If a rather small (say, 1&#x2F;4 in diameter) sphere covered with retroreflector material was held up from the insert, possibly by a short, thin stiff wire, the sphere could be visible, but not excessively obvious even during the daylight. It would be easy to find this device with a flashlight in the dark. For added security, an infrared-transmitting plastic (such as is often used to cover IR-activating remote controls, such as <a href="https:&#x2F;&#x2F;www.eplastics.com&#x2F;plexiglass&#x2F;acrylic-sheets&#x2F;ir-transmitting" rel="nofollow">https:&#x2F;&#x2F;www.eplastics.com&#x2F;plexiglass&#x2F;acrylic-sheets&#x2F;ir-trans...</a> ) could be used to ensure that only IR is retroreflected back to a searcher.<p>Ordinary smart-phone camera arrays are not only sensitive to human-visible light (generally described as 400-700 nanometer wavelength), but are also sensitive to near-IR wavelengths. If a smartphone camera was combined with a directional IR LED, substituting for the white light LED lamp used for photography, and aiming in the same direction, a user would be able to see (through the camera display) the IR-specific reflections from an IR-limited retroreflector, and this would probably be doable both during the day and at night. A person operating such a camera would &quot;look like&quot; he was doing photography, or perhaps playing a game. Somebody watching, even at night, could not see the IR. The IR &#x27;searchlight&#x27; could be a narrow-beam device, perhaps with a full-angle of 16 degrees or so (typical for a narrow-beam IR LED), so it wouldn&#x27;t be particularly obvious even if watched through an IR viewer. (If the IR LED itself was shielded from direct view.)<p>One advantage of this technique is that the searcher could identify the target from a very long distance away, perhaps many tens of meters, and thus approach it in a more &quot;innocent&quot; fashion. No obvious &quot;searching&quot; would have to be performed in the open. And, the person who placed the dead drop could ascertain its status without later needing to approach it closely.<p>This technique could be combined with Bluetooth or WiFi techniques, too. The retroreflector could normally be retracted, and only raised if the proper Bluetooth or WiFi signal was heard. Or, perhaps, the target would contain an exposed IR LED, which would activate from an battery only if the proper signals were heard. The resulting dead-drop would be virtually impossible to find.
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jimb1over 6 years ago
This system has problems deleting messages.
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auslanderover 6 years ago
Dark Drones!
bayesian_horseover 6 years ago
From what I know about drug users&#x27; level of motivation I&#x27;d say the dealers will regret using dead drops quickly...
tw1010over 6 years ago
&gt; &quot;What is illegal and unethical trade for one is perfectly legal for another&quot;<p>What in the world does that mean? There&#x27;s only one rule of law.
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cvzaover 6 years ago
&quot;What is illegal and unethical trade for one is perfectly legal for another. Judge for yourself.&quot;<p>Is it just me, or is this statement just plain incorrect?
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rospayaover 6 years ago
A very long article with the only takeaway being... a better use of dead drops? Am I missing something bigger here?