A Darknet Drug Ring Used Crypto to Hide Its Money—Binance Helped India Freeze Its Assets
India’s Narcotics Control Bureau (NCB) has dismantled an alleged darknet drug network known as ‘Team Kalki,’ with assistance from cryptocurrency exchange Binance and the Data Security Council of India (DSCI). The investigation leveraged blockchain analytics to trace illicit crypto transactions, identify connected wallets, and freeze digital assets, disrupting the group’s financial infrastructure.
According to Binance, its investigations team worked closely with the NCB and DSCI to provide wallet tracking and blockchain intelligence. The company stated: “In this operation, Binance and DSCI provided vital blockchain analytics and wallet tracking that helped authorities identify and freeze cryptocurrency assets linked to Team Kalki.”
The syndicate allegedly used the encrypted messaging platform Session, the darknet forum Dread, and “dead drop” deliveries to distribute narcotics sourced from international suppliers. Authorities seized thousands of drug items from domestic and international parcels tied to the network.
Blockchain technology, often perceived as anonymous, proved to be a liability for the criminals. Public transaction records allowed investigators to trace fund movements and link wallets, enabling exchanges to freeze assets. Binance’s Head of APAC, S.B. Seker, noted: “This transparency is actually a significant advantage – it allows authorities to trace, investigate, and address wrongdoing more effectively.”
Binance CEO Richard Teng commented on the operation, stating: “Crypto isn’t the criminal’s best friend—it’s often the trail that catches them. Binance & DSCI supported India’s NCB in taking down a darknet drug ring by tracing on-chain fund flows. This is what real blockchain accountability looks like.”
The case follows similar cooperation between Binance and Indian authorities, including the earlier crackdown on the ‘Ketamelon’ darknet syndicate, which also used blockchain intelligence to trace criminal activity. The Team Kalki operation underscores how law enforcement agencies are increasingly using blockchain analytics to combat illicit finance in the digital asset space.