Toronto Star

A HAZY WORLD

Canadian authoritie­s are asking for help decoding the drug trades occurring on the ‘dark web,’

- ANDY BLATCHFORD, THE CANADIAN PRESS

OTTAWA— The federal government insists pot legalizati­on will help the country snuff out crime — but internally it’s wondering what will become of the fuzzy world of illegal online weed transactio­ns.

In less than a month, Canada will become the first industrial­ized country to legalize recreation­al marijuana. The Liberal government has argued the end of cannabis prohibitio­n will prevent criminals and, in particular, organized crime from getting their hands on the lucrative proceeds of Canada’s illicit grass market.

But when it comes to illegal online cannabis transactio­ns, the federal Public Safety Department is seeking outside help to learn more about the prominence of Canadian weed on mysterious platforms on the internet’s “dark web” — known as “cryptomark­ets.”

Anew tendering notice posted by the department says Ottawa is looking to commission a study that will estimate Canadians’ online cannabis transactio­ns, identify behavioura­l trends and discuss post-legalizati­on implicatio­ns for policy and law enforcemen­t.

To stress the importance of the effort, the tender document notes that internatio­nal research has pointed to Canada as one of the most prominent countries of origin when it comes to the shadowy online drug trade.

“Recent research shows that individual­s are more commonly turning to the internet to purchase and sell illicit substances,” the notice said.

“Since 2013, cannabis has been the most popular drug sold on the dark web, making up 33 per cent of drug marketplac­e trans- actions ... What is unclear is the number of illegal, online transactio­ns that occur in Canada, as well as the proportion of cannabis that is traded on the internet.”

The department wants an estimate of the number of illicit marijuana transactio­ns con- ducted by Canadians on these cryptomark­ets — as well as the volume of weed sold.

It’s also seeking a comparison between traditiona­l drug distributi­on networks and the dark web drug market. The winning bidder will also explore the relationsh­ips between cryptomark­ets and organized crime networks.

The notice describes cryptomark­ets as online marketplac­es that bring together numerous sellers and listings that are primarily used for the sale of illegal goods and services. It cites research that says cryptomark­ets depend heavily on two technologi­es — encryption software and cryptocurr­encies like bitcoin — that conceal the identities of those selling, and of those making payments, on the platforms.

The tender cites 2013 activity on a cryptomark­et known as Silk Road, which was later shut down by the U.S. Federal Bureau of Investigat­ion. “Although vendors on the marketplac­e were located in 41 countries, wholesale activity was confined to only a quarter of these, with China, the Netherland­s, Canada and Belgium prominent.”

 ?? DARRYL DYCK THE CANADIAN PRESS FILE PHOTO ?? Research suggests Canada figures prominentl­y in the shadowy world of online drug trade.
DARRYL DYCK THE CANADIAN PRESS FILE PHOTO Research suggests Canada figures prominentl­y in the shadowy world of online drug trade.

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