Drugs, Dead Drops and the Battle Over Russian Darknet Markets | Deep Dive: Exploring Organized Crime

Drugs, Dead Drops and the Battle Over Russian Darknet Markets | Deep Dive: Exploring Organized Crime

Author: Global Initiative Against Transnational Organized Crime January 14, 2025 Duration: 1:15:16

If you were to walk around a Russian city, you might not realise it but hundreds of small packages of drugs, could be just below the surface, buried in the ground, or maybe attached to the back of a nearby drainpipe with magnets, or hidden inside a hole in a wall. These little "treasures" have been ordered online from a vendor operating on a darknet platform and then hidden by couriers known as 'Kladmen' all over the place waiting to be collected - this is the "dead drop" method.

The darknet markets servicing Russia have revolutionized the illicit drug markets in the country, which has seen an explosion in the consumption of synthetic drugs like methadone, mephedrone or Alpha-PVP. The vendors run a network of chemists, wholesalers, and Kladmen. Sportsman, hired thugs, roam around looking for Seagulls (people who steal dead drops) and punishing Kladmen on behalf of vendors, before uploading the punishments to social media as a warning to others.

For many years, Hydra, the largest DNM the world has ever known, defeated all competition and reigned supreme, handling over $5 billion dollars of cryptocurrency during its lifespan. But in 2022, it was taken down and like the mythical beast it was named after, new heads sprouted in its place - OMG!OMG!, Mega, Kraken, Blacksprut - all vying for position, competing for market share and creating the most audacious public marketing stunts and highly produced online videos.

The DNMs, with connections to the precursor markets of China and India, operate on TOR, have pushed synthetic drugs into all corners of Russia, democratizing the production process, with how-to guides and readily available lab equipment, and even created an apprenticeship scheme for prospective Kladmen, with a guaranteed job at the end.

The whole process is highly anonymised from production to transportation, and from purchase to delivery through the dead drop method. We have seen darknet markets affecting the drug appetites of an entire nation and beyond.

Speaker(s):

Max Daly, Journalist who specialises in drugs and organized crime. He is an Orwell Prize winner, co-authored of the book Narcomania and the co-author of the GITOC paper 'Breaking Klad: Russia’s Dead Drop Drug Revolution'.

Patrick Shortis, Senior Blockchain Intelligence Analyst working on the illicit drugs program at TRM Labs and co-author of the GI’s paper ‘Breaking Klad: Russia’s Dead Drop Drug Revolution’.

Links:

Breaking Klad: Russia’s Dead Drop Drug Revolution

Global Initiative against Transnational Organized Crime

(Podcast) “Death Can Wait”: Drugs on the Frontline in Ukraine

Additional...


Behind the headlines and official reports exists a shadow world of immense scale and complexity. Deep Dive: Exploring Organized Crime ventures into that space, guided by the experts and analysts of the Global Initiative Against Transnational Organized Crime. This isn't just about recounting crimes; it's a meticulous examination of the systems, economies, and global networks that power them. The scope of this podcast is intentionally vast. You might find one installment unraveling the operations of a hybrid paramilitary cartel, while the next investigates the obscure financial pipelines that enable wildlife trafficking or cyber fraud. Each episode is built on frontline reporting and deep research, translating intricate criminal ecosystems into compelling narrative. Recognized with awards for its thorough approach, including twice winning 'Best Deep Dive Podcast,' the series offers listeners clarity on some of the world's most opaque and powerful structures. Tune in for a sober, authoritative look beyond the surface, where the real stories of global illicit power are told.
Author: Language: English Episodes: 49

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