Module 5

Cryptocurrency Regulation: Stakeholders, Roots of Bit coin, Legal

Aspects-Crypto currency Exchange, Black Market and Global
Economy. Applications: Internet of Things, Medical Record
Management System, Domain Name Service and future of
Blockchain.
Stakeholders in Cryptocurrency Regulations
Stakeholders in cryptocurrency regulations include:
 Government and Regulatory Bodies: Responsible for creating and
enforcing laws and regulations related to cryptocurrencies.
 Financial Institutions: Impact of cryptocurrencies on traditional banking
and financial systems.
 Cryptocurrency Exchanges: Subject to regulations governing their
operations and customer protection.
 Investors and Traders: Affected by regulations that impact their ability
to buy, sell, and trade cryptocurrencies.
 Technology and Blockchain Companies: Involved in the development
and implementation of blockchain technology and cryptocurrencies.
 Consumers and Users: Impact of regulations on the use and acceptance
of cryptocurrencies in daily transactions.

Who Are The Crypto Stakeholders? What Role Do They Play?

The world of cryptocurrency and blockchain technology has witnessed an
unprecedented surge in popularity and adoption over the past decade. This
transformative sector has given rise to a vast ecosystem of stakeholders,
each playing a crucial role in shaping the future of digital assets.
Understanding the diverse interests and perspectives of these stakeholders
are essential for navigating the complexities of the crypto landscape and
making informed investment decisions.

Primary Stakeholders: The Driving Forces of the Crypto Ecosystem

At the heart of the crypto ecosystem lie primary stakeholders, individuals,

or entities directly involved in the creation, development, and utilization of
digital assets. These stakeholders include:

Cryptocurrency Developers: The architects of the crypto world,

developers are responsible for designing, coding, and maintaining
blockchain protocols and cryptocurrencies. Their expertise is crucial for
ensuring the security, scalability, and innovation of the crypto ecosystem.

Cryptocurrency Exchanges: These platforms serve as the primary

marketplaces where individuals can buy, sell and trade cryptocurrencies.
They provide liquidity, facilitate transactions, and enable seamless access
to the crypto market for investors worldwide.

Cryptocurrency Miners: Responsible for validating transactions and

securing blockchain networks, miners contribute to the integrity and
decentralization of the crypto ecosystem. They receive rewards in the form
of newly minted cryptocurrencies for their computational power.

Cryptocurrency Users: The lifeblood of the crypto ecosystem, users drive

demand for digital assets and contribute to its growth and adoption. They
utilize cryptocurrencies for a variety of purposes, including payments,
investments, and decentralized applications (dApps).

Secondary Stakeholders: Shaping the Regulatory and Social

Landscape

While primary stakeholders are directly involved in the day-to-day

operations of the crypto ecosystem, secondary stakeholders play a crucial
role in shaping the regulatory and social environment surrounding digital
assets. These stakeholders include:

Governments: Governments worldwide are grappling with the

implications of cryptocurrencies and blockchain technology, exploring
potential regulations and frameworks to balance innovation with consumer
protection and financial stability.

Regulatory Bodies: Organizations such as the Securities and Exchange

Commission (SEC) and the Financial Crimes Enforcement Network
(FinCEN) are responsible for overseeing the crypto market, ensuring
compliance with existing laws, and preventing illicit activities.

Financial Institutions: Traditional financial institutions, including banks

and investment firms, are cautiously exploring the integration of
cryptocurrencies into their offerings, recognizing the potential for new
revenue streams and customer engagement.

Media and Academics: Media outlets play a critical role in shaping public
perception and understanding of cryptocurrencies, while academics
 contribute to research and development, providing valuable insights into
the technical and economic aspects of digital assets.

The crypto ecosystem is a dynamic and constantly evolving landscape,

with new stakeholders emerging and existing ones adapting to the
changing environment. Understanding the diverse interests and
perspectives of these stakeholders is essential for navigating the
complexities of the crypto world and making informed investment
decisions. As the crypto sector continues to mature, collaboration and
dialogue among stakeholders will be crucial for fostering a sustainable and
equitable future for digital assets.

Roots of Bitcoin
Bitcoin, the first decentralized cryptocurrency, was created by an
anonymous person or group of people using the pseudonym Satoshi
Nakamoto. It was introduced in a 2008 white paper titled "Bitcoin: A
Peer-to-Peer Electronic Cash System." The roots of Bitcoin can be traced
to several key concepts and technologies:
 Blockchain Technology: The underlying technology that enables the
decentralized and secure nature of Bitcoin transactions.
 Cryptography: The use of cryptographic techniques to secure
transactions and control the creation of new units.
 Decentralization: The absence of a central authority or intermediary,
allowing peer-to-peer transactions.
 Digital Cash: The concept of creating a digital currency that can be
exchanged without the need for a trusted third party.
These roots have laid the foundation for the development of numerous
other cryptocurrencies and blockchain-based applications.

Cypherpunks
 Pivotal advancements in cryptography during the 20th century laid the
foundation for Bitcoin and other cryptocurrencies.
 The Cypherpunk Movement advocated for personal privacy and
decentralized control.
 Bitcoin addresses the Double-Spending Problem through blockchain
technology.
 Efforts like DigiCash and b-money contributed to the collective
knowledge that eventually led to Bitcoin's creation.
 Bitcoin embodies the Cypherpunk dream of financial autonomy,
challenging traditional systems, and inspiring decentralized finance.

The history of Bitcoin starts in the late 20th century, when a group of
visionaries known as the cypherpunks emerged. They advocated for
strong encryption and the protection of individual privacy in an
increasingly digital world.

Cypherpunks believed that decentralization was key to empowering

individuals against the overreach of centralized authorities, and their
passionate discussions paved the way for radical ideas in digital security
and finance.

Early digital cash experiments — such as DigiCash and e-gold — sought

to create electronic forms of money that could bypass traditional banking
systems, while cryptographic innovations like digital signatures and hash
functions provided the technical foundation for secure, trustless
transactions.

It was in this fertile ground of innovation and dissent that the mysterious
figure of Satoshi Nakamoto emerged, launching Bitcoin as the first
decentralized cryptocurrency and turning a cypherpunk dream into a
transformative reality for global finance.

Brief History:

“Satoshi Nakamoto” is presumed to be the pen name for the person or

people who designed the original bitcoin. Bitcoin was first introduced in
the year 2009 as a medium of exchange. Bitcoin then started as a peer-
to-peer network to generate a system for electronic transactions. Since
then, there has been a rapid growth in the usage as well as the value of
bitcoin which is a popular system of digital currency.

Features:

 Distributed: All bitcoin transactions are recorded in a public ledger

known as the blockchain. There are nodes in the network that
maintain copies of the ledger and contribute to the correct
propagation of the transactions following the rules of the protocols
making it impossible for the network to suffer downtime.
 Decentralized: There is no third party or no CEO who controls the
bitcoin network. The network consists of willing participants who
 agree to the rules of a protocol and changes to the protocol are done
by the consensus of its users. This makes bitcoin a quasi-political
system.
 Transparent: The addition of new transactions to the blockchain
ledger and the state of the bitcoin network is arrived upon by
consensus in a transparent manner according to the rules of the
protocol.
 Peer-to-peer: In Bitcoin transactions, the payments go straight from
one party to another party so there is no need for any third party to
act as an intermediary.
 Censorship resistant: As bitcoin transactions are pseudo-
anonymous and users possess the keys to their bitcoin holdings, so it
is difficult for the authorities to ban users from using their assets.
This provides economic freedom to the users.
 Public: All bitcoin transactions are available publicly for everyone to
see. All the transactions are recorded, which eliminates the
possibility of fraudulent transactions.
 Permissionless: Bitcoin is completely open access and ready to use
for everyone, there are no complicated rules of entry. Any transaction
that follows the set algorithm will be processed with certainty.
 Pseudo-anonymous: Bitcoin transactions are tied to addresses that
take the form of randomly generated alphanumeric strings.

Value of Bitcoin

A normal piece of paper and a currency note is physically the same but
the value of the note is decided by an authority or a centralized
government. But Bitcoin is a currency that does not have any centralized
government or authority to control and decide its value. It is a
decentralized digital currency.
 As of now, the value of 1 bitcoin is 23,54,953.68 Indian Rupees but
this value fluctuates as there is no centralized authority to control it.
 In December 2011, the value of a Bitcoin was estimated to be 2 US
dollars, in December 2013, it went up to about 1000 US dollars.

How Do Bitcoin Transactions Work?

Bitcoin transactions are digitally signed for security. Everyone on the

network gets to know about a transaction. Anyone can create a bitcoin
wallet by downloading the bitcoin program. Each bitcoin wallet has two
things:
 Public key: It is like an address or an account number via which any
user or account can receive bitcoins.
 Private key: It is like a digital signature via which anyone can send
bitcoins.
The public key can be shared with anyone but the private key must be
held by the owner. If the private key gets hacked or stolen then bitcoin
gets lost.
A bitcoin transaction contains three pieces of information:
 Private key: The first part contains the bitcoin wallet address of the
sender i.e. the private key.
 Amount of bitcoin to be transferred: The second part contains the
amount that has been sent.
 Public key: The third part contains the bitcoin wallet address of the
recipient i.e. the public key.
Bitcoin transactions are verified by the nodes on the network. Once the
transaction is verified and executed successfully, the transaction is
recorded in a distributed public ledger called a blockchain. A bitcoin can
also be considered as an invisible currency with only the transaction
records between different addresses.

How Do Bitcoins Come Into Market?

Bitcoins are a decentralized currency, they aren’t printed, like rupees,

they’re produced by people, and big companies, running computers all
around the world, using software that solves mathematical problems.
 Bitcoins are mined using the computing power of the distributed
network. This network also processes transactions made using
Bitcoin.
 Bitcoins are mined on the basis of computing power, so they take
time to be generated.
 To keep it valuable, it has been stated that only 21 million bitcoins
can be created by miners. By the year 2140, all the bitcoins will be
created.
 Around the world, thousands of computers with very high computing
power are processing transactions and securing the network by
solving complex mathematical calculations and collecting new
bitcoins in exchange.

How Does Bitcoin Mining Work?

In the Bitcoin network, there are nodes that use the computing power of
their CPU to process the transactions. The following are the steps
followed while mining a bitcoin:
 The user initiates the bitcoin transaction by listing the details like the
number of bitcoins to be sent, and the public address, and affixing
the private key to generate a digital signature. The encrypted
information to the miners present on the network.
 The miners will verify the transaction to check whether there is
sufficient balance to carry out the transaction.
 The faster the CPU of a miner, the greater the chances for the miner
to get rewarded for verifying the transaction. The miner’s job is only
to provide the CPU, there is no manual intervention from the miner.
The bitcoin program will run automatically on the system.
 Once the transaction is verified, the number of transactions is
broadcasted to the network of miners who can copy or download the
block.
 These blocks through timestamps are stored in sequential order to
form a blockchain.
 Each miner in the network must have an updated copy of the
blockchain ledger in order to earn bitcoins.

How Do You Buy Bitcoin?

There are three ways to get a bitcoin:

1. Buying: Many marketplaces like Bitcoin exchanges allow users to
buy or sell bitcoins using different currencies. If one does not want to
mine a bitcoin, it can be bought using a cryptocurrency exchange. Most
people will not be able to purchase the entire BTC due to its price, so it
is possible to buy portions of BTC on these exchanges in fiat currency
like U.S. Dollars. The following steps can be followed to buy bitcoin
outside the online exchanges:
 Each person who joins the bitcoin network is issued a public key and
a private key.
 When a person buys a bitcoin or sends/receives it, the person will
receive a public key.
 The person can only access the bitcoin using the private key (it has)
with the public key (it received).
2. Mining: People on the bitcoin network compete among themselves to
mine bitcoins using computers to solve complex maths puzzles. This is
how bitcoins are created.
3. Transfer: Bitcoin can be transferred from one account to another just
like digital cash using mobile applications or computers.

How is Bitcoin Used?

Below are some of the ways of using bitcoin:

 Payment: Bitcoin is accepted as a mode of payment for goods and
services at many merchants, and retailers. To use bitcoin, wallets are
required. cryptocurrency wallets contain private keys to the bitcoin,
which need to be entered while conducting a transaction.
 Investing: portfolio: Bitcoin grew in popularity which made
Investors and Individuals interested in investing in the
cryptocurrency Bitcoin. Individuals can invest in Bitcoin to help
diversify their portfolio of stocks and bonds.

Benefits of Bitcoin

The following are some of the advantages of using bitcoins:

 User anonymity: Bitcoin users can have multiple public keys and
are identified by numerical codes. This ensures that the transactions
cannot be traced back to the user. Even if the wallet address becomes
public, the user can generate a new wallet address to keep
information safe.
 Transparency: Bitcoin transactions are recorded on the public
ledger blockchain. The transactions are permanently viewable, which
gives transparency to the system but they are secure and fraud-
resistant at the same time due to blockchain technology.
 Accessibility: Bitcoin is a very versatile and accessible currency. It
takes a few minutes to transfer bitcoins to another user, so it can be
used to buy goods and services from a variety of places accepting
bitcoins. This makes spending bitcoin easy in another country with
little or no fees applied.
 Independence from central authority: Bitcoin is a decentralized
currency, which means there is no dependence on any single
governing authority for verifying transactions. This means that the
authorities are not likely to freeze or demand back the bitcoins.
 Low transaction fees: Standard wire transfers involve transaction
fees and exchange costs. Since bitcoin transactions do not involve
any government authority so the transaction fees are very low
compared to bank transfers.
Drawbacks of Bitcoin

The following are some of the cons of using bitcoin:

 Volatility: There are various factors that contribute to the bitcoin’s
volatility like uncertainty about its future value, security breaches,
headline-making news, and one of the most important reasons is the
scarcity of bitcoins. It is known that there is a limit of 21 million
bitcoins that could ever exist which is why some regard bitcoin as a
scarce resource. This scarcity makes bitcoin’s price variable.
 No government regulations: Unlike the investments that are done
through central banks, bitcoins transactions are not regulated by any
central authority due to a decentralized framework. This means that
bitcoin’s transactions don’t come with legal protection and are
irreversible which makes them susceptible to crimes.
 No buyer protection: If the goods are bought using bitcoins and the
seller does not send the promised goods then nothing can be done to
reverse the transactions and since there is no central authority so no
legal protection can be provided in this case.
 Not widely accepted: Bitcoins are still only accepted by a small
group of online merchants. This makes it unfeasible to rely
completely on bitcoin as a currency and replace it with traditional
bank transactions.
 Irreversible: There is a lack of security in bitcoin transactions due to
the anonymous and non-regulated nature of the bitcoin transactions.
If the wrong amount is sent or the amount is sent to the wrong
recipient then nothing can be done to reverse the transactions.

The Legal Challenges of Cryptocurrency

1. Regulation and Classification of Cryptocurrency

One of the most significant legal issues surrounding cryptocurrency is its
regulatory classification. Cryptocurrencies have been described in various
ways by regulators: as commodities, currencies, securities, or even assets.
In India, the legal status of cryptocurrencies has remained uncertain for a
long time, with the Reserve Bank of India (RBI) initially imposing
restrictions on banking transactions involving cryptocurrencies in 2018.
However, the Supreme Court of India struck down this ban in 2020,
allowing cryptocurrency exchanges to resume operations.
Despite this, there is still no comprehensive legislative framework for
cryptocurrency in India. The Indian government has been contemplating
the introduction of a regulatory framework for cryptocurrencies, and
discussions around the Crypto Bill continue. This bill could potentially
regulate the use of cryptocurrency in India, or even ban it, and its legal
implications could significantly affect businesses and investors.
On the global stage, countries like the United States, European Union,
and China have developed different regulatory stances. In the U.S., the
Securities and Exchange Commission (SEC) considers some
cryptocurrencies to be securities and regulates them under securities laws,
while others, like Bitcoin, are treated more like commodities by the
Commodity Futures Trading Commission (CFTC).

2. Taxation of Cryptocurrency
Another critical issue is the taxation of cryptocurrency. Given the
anonymous and decentralized nature of cryptocurrencies, tracking
transactions for tax purposes can be challenging.
In India, the Income Tax Department treats cryptocurrencies as capital
assets. The taxation of capital gains arising from the sale or transfer of
cryptocurrencies is governed by the Income Tax Act, and cryptocurrency
traders are required to report their gains or losses. Additionally, GST may
apply to transactions involving cryptocurrencies, depending on whether
they are treated as goods or services under Indian tax law.
Globally, tax authorities are increasingly focused on cryptocurrency
transactions, with many countries imposing taxes on crypto earnings,
whether through capital gains tax or as part of business income. For
businesses that deal in cryptocurrency, tax implications can include
reporting requirements, tax filings, and issues around VAT/GST.

3. Anti-Money Laundering (AML) and Know Your Customer (KYC)

Compliance
Cryptocurrency’s potential for anonymity has raised concerns among
governments and regulators regarding its use in money laundering,
terrorist financing, and other illicit activities. As a result, many
jurisdictions are considering or have implemented Anti-Money
Laundering (AML) and Know Your Customer (KYC) regulations for
cryptocurrency exchanges and businesses.
In India, the Financial Intelligence Unit (FIU-IND) has proposed that
cryptocurrency exchanges comply with AML and KYC regulations. This
includes verifying customer identities, tracking suspicious transactions,
and reporting large transactions to relevant authorities.
As cryptocurrency exchanges grow in popularity, they may be subject to
increasing scrutiny, and businesses involved in the cryptocurrency space
will need to invest in robust compliance systems to meet regulatory
requirements.

4. Consumer Protection and Fraud

The decentralized nature of cryptocurrency can expose consumers and
investors to risks of fraud, hacks, and scams. Cryptocurrencies are often
stored in digital wallets, and these wallets are subject to cyberattacks,
hacking incidents, and theft.
As cryptocurrencies do not have a central authority, consumers have
limited avenues for seeking redress if they are defrauded. Legal
protections are minimal, and regulators in many jurisdictions are
struggling to develop frameworks for consumer protection in the crypto
space.
In India, consumer protection laws do not currently extend to
cryptocurrency transactions in a comprehensive way. However, given the
rise of crypto frauds and Ponzi schemes, legal experts expect this to
change as the market matures.

What Is a Black Market?

A black market is an economic activity that occurs outside government-

sanctioned channels. Illegal market transactions usually occur under the
table to let participants avoid government price controls or taxes. The
goods and services offered in a black market can be illegal, meaning
their purchase and sale are prohibited by law, or they can be legal but
transacted to avoid taxes. Black markets are also known as illegal
markets, shadow markets, or underground markets.

KEY TAKEAWAYS

 A black market is an economic activity that occurs outside of

government-sanctioned channels.
 Black markets trade in legal and illegal goods and services to
avoid taxes, or both.
 These markets can include the sale of illegal drugs and weapons,
human trafficking, and the illegal wildlife trade.
 Black markets can negatively impact the economy because the
activity is not reported and taxes are not collected on the
transactions.
 Black markets may create jobs for those who can't find
employment in traditional markets and allow access to medicine
and healthcare to individuals who don't have access otherwise.
 
Black Market Products and Services

 Alcohol
 Animals and animal products
 Illegal drugs
 Illegally logged timber
 Personal information
 Sexual exploitation and forced labor
 Tobacco
 Weapons

Impact of Black Market Activities

Underground market activity was traditionally conducted in cash to

avoid creating a paper trail. With the rise of the internet, many
underground market transactions are now done online, such as on
the dark web using digital currencies.

Illegal markets can take a toll on an economy because they are shadow
markets where economic activity is not recorded and taxes are not paid.
It is often assumed that a country’s gross domestic product (GDP) is not
accurate because it doesn't account for any business activity conducted in
underground markets.

The underground market’s many drawbacks include the risk of fraud, the
potential for violence, and being saddled with counterfeit goods or
adulterated products, which is especially dangerous in the case of
medications.

Types of Black Markets

An underground market is often a place for the exchange of illicit,

dangerous, or counterfeit goods. They are venues where highly
controlled substances or products, such as drugs and firearms are
illegally traded.

Human Trafficking

Human trafficking is a very large illegal market. It moves people into

forced labor, forced marriages, prostitution, child armies, and the market
for human organs. Roughly 50 million people were trapped in modern
slavery across the world in 2021, with women and children being the
most vulnerable.1 Experts estimate that sex trafficking and forced labor
generate as much as $150 billion a year in profits.2

Counterfeiting

Counterfeit goods form a major part of black market activity. There is a

big demand and a large market for these goods, despite strong laws
designed to punish those who sell fake goods. The sale of counterfeit
goods reduces the profits made by legitimate manufacturers and also
undermines confidence in the market as a whole. These products can also
be harmful to consumers.

Some of the most commonly seized counterfeit goods seized by U.S.

border officials include:

 Pharmaceuticals
 Personal care products
 Electronics
 Sunglasses
 Cigarettes

Currencies

The largest underground financial market exists for currencies in nations

with strict currency controls. While most people may shun an
underground market because they consider it sleazy, there may be rare
occasions when they have no choice but to turn to this necessary evil.

As for illegal currency markets, they exist primarily in nations with

currency controls and weak economic fundamentals, such as a high
inflation rate and low currency reserves. It is also common in countries
with a fixed exchange rate where the domestic currency is pegged at an
unrealistically high level to the U.S. dollar or other currency. As a result,
the currency underground market is flourishing in nations like Argentina,
Iran, and Venezuela.

FAST FACT

Other underground markets include illegal gambling, the illegal wildlife

trade, and illegal mining, fishing, and logging.

The Necessity of Black Markets

Some people may have no other option but to use underground markets
to get the goods they seek in certain situations. For example,
suppose you are on vacation with your family in an exotic location and
run out of formula for your baby. You may have to turn to the
underground market to acquire formula if nothing is available in local
stores.

Paying a premium over the face value of a ticket to see a concert or

sporting event is also an example of an illegal market transaction.
Lifesaving medicines are often in short supply in certain developing
nations and the only alternative to procure them may be the underground
market.

Critics say this only serves to perpetuate the illegal and unethical
practice of profiteering from someone else’s misfortune, but
participating in the underground market is a relatively easy decision to
make when someone’s life is at stake.

WARNING

Underground market transactions provide no recourse to the buyer in

case the product is defective, and a buyer in an underground market can
suffer penalties and jail times just as easily as a seller can.

Example of a Black Market

A modern example of a black market is the Silk Road market. This was a
digital market that used Bitcoin to launder money and to conduct illegal
drug transactions and weapons sales.

The market opened in 2011 and closed in 2013 when it was shut down
by the FBI. The man behind the market was a 29-year-old computer
science engineer named Ross Ulbricht.3 Federal authorities said that
roughly $1.2 billion in sales transactions were made by registered users
of the Silk Road between February 2011 and July 2013.4

It connected nearly 4,000 sellers to almost 150,000 buyers. An individual

could purchase almost anything; heroin, rocket launchers, falsified
documents, and even murders for hire were discussed. It was known as
the Amazon of the dark web.

It led to a global search for Ulbricht. He was finally captured, the illegal
market was shut down, and he was serving life in prison.3 On January
21, 2025, President Donald Trump pardoned Ulbricht.
What Is a Simple Definition of the Black Market?

A black market is any market where the exchange of goods and services
takes place in order to facilitate the transaction of illegal goods or to
avoid government oversight and taxes, or both.

How Does the Black Market Work?

There are a variety of illegal markets, and all of them work in different
ways. A black market can be a physical market where two individuals
meet to exchange illegal goods—for example, a drug transaction on a
street corner. A black market can also exist online, such as on the dark
web, where individuals communicate to exchange goods and payments
are made in digital currencies.

What Is an Example of a Black Market?

An example of an illegal or black market would be the human trafficking

market that engages in the capture of people throughout the world and
their sale into various areas, such as forced labor and prostitution.

Why Is It Called the Black Market?

There are various theories as to why it is called the black market. These
include the association of the word black with shadows and darkness,
with the markets that continued to sell slaves after abolition, and the
association of the color black with anarchist groups.

How Big Is the Black Market?

The nature of the black market makes measuring its size very difficult,
and estimates vary a lot. The black market is estimated to constitute as
much as 36% of the gross domestic product of developing nations and
13% of developed countries’ GDP.5

Deep Web:
It is the web that cannot be accessed by the search engines, like
government private data, bank data, cloud data, etc. These data are
sensitive and private, so kept out of reach. It is used to provide access to
a specific group of people. On the dark Web, users do intentionally bury
data.
Dark Web:
The dark web refers to encrypted online content that is not indexed by
conventional search engines. Darknet provides a user with anonymity
but service was introduced that allowed someone to host a website on
the darknet and remain anonymous. This attracted people who do illegal
stuff to sell things without getting caught. One example is a website
called the silk road which was on a darknet called TOR, used to sell
drugs, and was taken down by the FBI. Let’s see the difference Between
Deep Web and Dark Web.

S. DEEP WEB DARK WEB

No..

The dark web is the WWW

content that exists on
The deep web is part of the WWW
darknets, overlay networks
whose contents banking are not
1. that use the Internet but
indexed by standard web search-
require specific software,
engines.
configurations, or
authorization to access.

The Deep Web is that part of the The Dark Web is a network
Internet that is not visible to the of one of the largest online
2.
naked eye, as opposed to the criminal and terrorist
Surface Web. activities in the world.

The content is only available

The contents are not indexed by the on personal encrypted
3.
regular search engines. networks or peer-to-peer
configurations.

Web that is not regulated

An enormous collection of
4. and whose IP addresses are
invisible websites.
intentionally hidden.

It can be accessed through a valid It can be only accessed with

5. username and a password and via specialized and specified
regular search engines. software.
 S. DEEP WEB DARK WEB
No..

The system or websites which need Dark Web depends or works

6. authentication for login are on the infrastructure of the
categorized under Deep Web. Deep Web.

Its access is browser-

7. Its access is not browser-specific. specific like Tor, I2P,
Freenet, etc.

It is quite simple to give an

accurate measure of the deep web
The size and scope of the
because of its public nature. The
8. dark web cannot be
volume of publicly available data
accurately measured.
in the deep web is 400 to 500 times
that of the surface web.

Applications-
Applications-
 The public cannot access
Intranets, or private networks,  The dark web’s primary
that are used by businesses and use is to give website
educational organizations. owners and users
 Applications with a subscription anonymity.
model are accessible only after  Websites that don’t want
the user has paid for them. to be on the public
Search engine crawlers cannot internet, where they
access this information because might be watched, can
9. of the paywall barrier. hide there thanks to the
 Publicly accessible, free internet dark web.
services are within the deep web  Fascinatingly, even
category. Banking websites, for Facebook may be
example, require users to check- accessed as a Tor-hidden
in before they can read their service, enabling users in
account statements. Even email nations where its
services like Gmail are part of platform is not legally
the deep web because search accessible to surf the
engines cannot access the website securely.
platform’s data.
 S. DEEP WEB DARK WEB
No..

Deep web security is a question of

common-sense best practices. For
Visiting the dark web, is like
example, using an unprotected
10. riddled with security and
public network to pay your bills
legal hazards.
may allow fraudsters to steal your
payment information.