How can investigative journalists help expose crypto-related crime – and educate both the public and policymakers in an increasingly complex financial landscape?

That was the knot unravelled in a recent webinar jointly organised by the Basel Institute on Governance and the Organization for Security and Co-operation in Europe (OSCE), and moderated by Dr Jolly Mtaba of Malawi University of Business and Applied Sciences.

Speakers spanning investigative journalism, law enforcement and public-private cooperation discussed the opportunities and challenges of investigating illicit activity involving virtual assets. They also probed the skills and collaborations needed to turn media investigations into on-the-ground impact on public awareness, policy advancement and law enforcement action.

Below are some of the key takeaways from the discussion.

Why does investigative journalism matter in the fight against crypto-related crime?

According to investigative journalist Geoff White, journalists play two critical roles.

One is investigative: uncovering wrongdoing, exposing weaknesses in systems and shining a light on fraud, corruption and money laundering.

The other is educational.

Many people have heard of cryptocurrency, but far fewer understand how it works, how it can be misused or why it can create opportunities for criminals. Journalists therefore have an important role in helping the public, policymakers and law enforcement agencies understand increasingly complex financial crime risks.

As White noted, and has sought to do in his latest book Rinsed and podcast series The Lazarus Heist,

there’s the explanation piece, and then there’s also the investigation and the forcing daylight into this industry.

What makes crypto investigations different?

The panellists agreed that crypto-related investigative reporting presents unique challenges.

Spencer Woodman of the International Consortium of Investigative Journalists (ICIJ) gave an example from the ICIJ’s Coin Laundry investigation. explained that while many aspects of crypto investigations resemble traditional money laundering investigations, aspects such as self-custody wallets and crypto-to-cash services introduce a new level of complexity.

Unlike traditional financial accounts, self-custody wallets can be created quickly, anonymously and without the involvement of a financial institution, he explained:

One thing that amazed me in this investigation was figuring out how easy it is to make my own self-custody wallet. You can generate these things at the click of a button, and that’s one reason scammers have such an easy time laundering money in crypto.

This makes tracing funds significantly more difficult, particularly when cryptocurrency is converted into cash through informal crypto-to-cash desks or courier services operating outside traditional regulatory frameworks.

Building on White’s comments about the explanatory function of journalism, an additional challenge is explaining complex blockchain technology to the audience, said Woodman:

These scoops and new pieces of information are often about complex financial dealings, and that’s already difficult to explain to readers in a succinct way. And then you have this additional challenge of having to explain what cryptocurrency is at a more basic level to a general readership. So the stories are serving a dual purpose – explaining the complex ins and outs of crypto, and then trying to explain the often complicated findings of our investigation.

Can investigative journalism lead to real-world action?

The answer is a clear yes.

Alexandra Gillies of the Organized Crime and Corruption Reporting Project (OCCRP) highlighted several investigations that led to concrete outcomes.

After one investigation into the Lithuanian crypto company Bankera, the Lithuanian authorities launched a criminal investigation and conducted more than 30 raids of companies connected to the case. Two banks in Lithuania and Vanuatu faced consequences too.

Another OCCRP investigation uncovered links between two UK-registered crypto exchanges and suspected Iranian money laundering networks. Following publication, the companies were removed from the UK corporate register. She explained:

At OCCRP we take a proactive approach. First, through outreach to people who can use the information, such as the briefings we gave to law enforcement agencies and policymakers about the findings of our big Scam Empire project.

Second by collaborating with civil society organisations such as Transparency International – where the journalists do their reporting, and then the civil society groups push for policy change, or for accountability and legal consequences for those involved in the wrongdoing. This has worked really well on a number of corruption issues.

Moderator Dr Jolly Ntaba added an example from Malawi, where a collaborative corruption investigation by journalists sparked a national debate and led to a presidential directive aimed at addressing some of the issues uncovered.

How can journalists and law enforcement work together without compromising independence?

This was one of the webinar’s central themes.

Eric van der Schild, Head of Europol’s Financial Intelligence Public Private Partnership (EFIPPP), emphasised that trust is essential.

Journalists and law enforcement agencies have different mandates and operate under different constraints, but both share an interest in exposing criminal activity and improving public safety.

He and other panellists stressed that cooperation does not mean sharing unpublished information or compromising journalistic independence.

Gillies clarified that OCCRP’s engagement with law enforcement takes place after publication and is based on publicly available reporting:

The way we share information is by publishing stories.

Instead, panellists highlighted the value of dialogue, mutual learning and ensuring that investigative findings reach the institutions best placed to act on them. The old adage remains true, said van der Schild:

Trust arrives on foot and leaves on horseback.

What skills do journalists need to investigate crypto-related crime?

Several panellists highlighted the growing need for specialist expertise.

Tom Walugembe of the Basel Institute’s International Centre for Asset Recovery pointed to a range of skills that can strengthen investigative reporting, including financial analysis, open source intelligence techniques and a better understanding of asset recovery mechanisms.

He also emphasised the importance of understanding how law enforcement agencies conduct investigations and cooperate across borders.

The need for such skills beyond law enforcement is the main driver of the Basel Institute’s development of a new course on financial investigations and asset recovery directed specifically at civil society organisations and investigative journalists.

Woodman argued that journalists do not need to become blockchain specialists overnight. However, they do need a solid understanding of the basics:

The best way to operate, in my opinion, as a reporter focusing on crypto, is to build some capacity and understanding of how to use public blockchain explorers.

That foundation allows journalists to engage more effectively with technical experts and critically assess the information they receive:

There are things in the metadata of those transactions that can really trip you up… relationships with experts are crucial, but it’s never very helpful to go to an expert and say: tell me everything about what I’m looking at here. You need to look at the thing yourself and then say: am I looking at this correctly?

Are there enough resources and expertise available?

Not yet.

Both OCCRP and ICIJ described ongoing efforts to build internal expertise on cryptocurrency and blockchain analysis.

One challenge is that many media organisations rely on commercial blockchain analytics providers, which can be expensive and may have potential conflicts of interest due to their relationships with industry clients.

As a result, several speakers stressed the importance of building in-house expertise.

Gillies noted that investigative journalism increasingly requires multidisciplinary teams capable of combining traditional reporting skills with technical and financial expertise. At the OCCRP, they are keen to strengthen collaboration with academic researchers and data scientists, she said.

What challenges do journalists face?

Apart from the omnipresent challenges of resources and expertise, the risks associated with investigating crypto-related crime are often the same risks faced by journalists investigating corruption, organised crime and money laundering more broadly.

These include legal threats, cyberattacks, political pressure and, in some countries, threats to personal safety.

In response to a question from the audience, panellists emphasised the impact of declining press freedom.

Restrictions on independent journalism can lead to self-censorship, force journalists into exile and reduce the amount of actionable information that reaches the public domain. Gillies said:

There’s a lot of stress and distraction that comes from managing repression.

The panellists agreed that protecting press freedom is essential if investigative journalism is to continue playing an effective accountability role. It’s in governments’ interests to “take that issue seriously and put it at the top of the agenda”, including both legal protections and adequate resourcing.

What was the overall message?

The webinar highlighted that cracking down on crypto-related crime is a complex challenge that is evolving at a dizzying rate and that requires all hands on deck.

Investigative journalists, law enforcement agencies, civil society organisations, researchers and policymakers each bring different strengths to that effort.

And though the technology may be evolving rapidly, the aim remains the same: follow the money, expose wrongdoing, ensure that those responsible are held accountable and strengthen policies to protect people, businesses and states.

As the discussion demonstrated, investigative journalism continues to be one of the most powerful tools available for achieving that goal.

Learn more

• View the webinar recording on YouTube.
• Read about the role of international and non-profit organisations in tackling crypto-related crime, drawing on another Basel Institute–OSCE webinar and insights from UNODC, the FIU Moldova and Global Coalition to Fight Financial Crime.