US Treasury Targets Bitcoin and Monero Addresses Linked to Nemesis Marketplace

Today the U.S. Treasury Department has imposed sanctions on nearly 50 cryptocurrency addresses tied to the now-defunct Nemesis darknet marketplace. The action targets 44 Bitcoin and 5 Monero addresses allegedly controlled by Iranian national Behrouz Parsarad, identified as the administrator of the darknet marketplace platform. The Treasury’s Office of Foreign Assets Control (OFAC) spearheaded the effort, spotlighting Parsarad’s role in facilitating millions of dollars in illegal transactions over the marketplace’s three-year run.

Nemesis, which boasted around 30,000 active users before its closure in 2024, served as a hub for a wide range of criminal enterprises. The platform enabled the sale of narcotics worth nearly $30 million, alongside offerings such as forged documents, personal data, ransomware, and cybercrime tools like phishing kits and DDoS services.

Monero, a privacy-focused cryptocurrency designed to obscure transaction details, played a key role in shielding the identities of those involved, while Bitcoin provided additional avenues for payments. According to OFAC, Parsarad profited handsomely by collecting fees from every transaction, amassing what authorities estimate to be millions of dollars during the site’s operation. Beyond merely hosting these activities, he allegedly laundered virtual currencies for narcotics traffickers and cybercriminals active on the platform.

A Broader Crackdown on Darknet Operations

The sanctions align with a broader U.S. government push to dismantle darknet marketplaces and curb the flow of illicit goods, particularly fentanyl, under an executive order from President Donald Trump. This latest action follows a pattern of enforcement efforts, including the 2022 takedown of Hydra Market, widely regarded as the most significant darknet bust since the Silk Road’s closure over a decade ago.

Nemesis itself fell to an international law enforcement operation last year, though Parsarad remains at large. Disturbingly, OFAC reports suggest he has already begun discussions with former vendors about launching a new darknet platform, hinting at the persistent challenges in curbing these underground networks.

The Treasury’s focus on cryptocurrency addresses underscores the growing role of digital assets in facilitating anonymous transactions online. By targeting these specific addresses, OFAC aims to disrupt the financial infrastructure that sustains such operations, sending a clear message to administrators and users alike. Parsarad’s case also highlights the intersection of cybercrime and narcotics trafficking, with Nemesis offering a grim catalog of illegal services that catered to a global audience of criminals.

This development comes amid a complex history of U.S. policy. In January, President Trump pardoned Ross Ulbricht, the founder of Silk Road, who had served over 10 years of a life sentence. The decision sparked debate about the balance between punishment and rehabilitation, even as enforcement agencies continue their relentless pursuit of active operators like Parsarad. For now, the Treasury Department’s latest sanctions mark another step in its ongoing campaign to dismantle the digital underpinnings of the dark web, though the resilience of these networks suggests the battle is far from over.