Exploring and Estimating the Revenues and Profits of Participants in Stolen Data Markets

ABSTRACT

Researchers have begun to explore the problem of mass data breaches, where consumer information is acquired by cybercriminals and sold in open markets on-line. Although studies document the social processes of the market and relationships between buyers and sellers, few have considered the revenues earned from market transactions. This study explored these issues using a sample of threads from 10 Russian language and 3 English language Web forums used to sell stolen data. Estimates were generated on the total number of transactions completed by participants along with the advertised prices for the two most common forms of personal information sold. The findings demonstrated that buyers may earn a range of revenues from the sale of stolen data, although this figure was smaller than the potential profits earned from fraudulent use and identity crimes by data buyers. The implications of this study for cybercrime research and policy are explored in detail.

Notes

¹ In the survey, 14% of all victims experienced economic harm from identity theft. Of that group, 68% of victims reported credit card loss, while 73.7% reported debit card losses (Harrell and Langton 2013). The majority of victims (49%) experienced harm of $99 or less.

Additional information

Funding

This project was supported by Award No. 2010-IJ-CX-1676, awarded by the National Institute of Justice, Office of Justice Programs, U.S. Department of Justice. The opinions, findings, and conclusions or recommendations expressed in this publication are those of the authors and do not reflect those of the Department of Justice.

Notes on contributors

Thomas J. Holt

THOMAS J. HOLT is an Associate Professor in the School of Criminal Justice at Michigan State University specializing in cybercrime, policing, and policy. He received his Ph.D. in Criminology and Criminal Justice from the University of Missouri–Saint Louis in 2005. He has published extensively on cybercrime and cyberterror with over 35 peer-reviewed articles in outlets such as Crime and Delinquency, Sexual Abuse, Journal of Criminal Justice, Terrorism and Political Violence, and Deviant Behavior.

Olga Smirnova

OLGA SMIRNOVA is an Assistant Professor in the Department of Political Science at Eastern Carolina University. She received her Ph.D. from the University of North Carolina at Charlotte and conducts research on the role of public policy in urban and regional economic development, state and local government, and the interaction of land use and transportation policy.

Yi Ting Chua

YI TING CHUA is a Ph.D. student in the School of Criminal Justice at Michigan State University whose interests include cybercrime and policy analysis.