A significant amount of cryptocurrencies passes through dark web marketplaces in Eastern Europe, according to Chainalysis.

Eastern Europe is actively using crypto for illicit purposes, the blockchain analytics firm said in a recent report. Out of $41 billion in total transaction volume, 1.4% was sent to various "illicit entities," the second-highest share in the world after Latin America.

"In fact, Eastern Europe accounts for more global darknet market activity than any other region," Chainalysis said in its report, "Eastern Europe: High Grassroots Adoption, Outsized Darknet Market and Ransomware Activity."

Most of that activity occurs on the Hydra Marketplace, which, by Chainalysis' estimate, is the sixth-largest service by cryptocurrency volume in the region – "no other region has a darknet market or other illicit service in its top ten services," the firm said in a blog post.

Hydra is a popular drug-selling marketplace that also provides other kinds of illicit goods and services such as fake IDs. Hydra famously announced an initial coin offering (ICO) in December 2019. In June, the ICO was postponed indefinitely due to the COVID-19 pandemic.