Binance, DSCI help NCB freeze crypto tied to Team Kalki

India’s Narcotics Control Bureau announced it dismantled the alleged Team Kalki darknet drug network after tracing and freezing cryptocurrency assets with blockchain analytics supplied by Binance and the Data Security Council of India (DSCI).

Binance said its investigations team collaborated with the NCB and the DSCI and described on July 22 how on-chain analysis and wallet tracking helped investigators follow fund movements, identify linked wallets and place freezes on accounts tied to the group. The NCB issued its own announcement earlier in July outlining arrests, seizures and parcel interceptions connected to the network.

Investigators used public blockchain records to map payments and connect previously unlinked wallet addresses to the syndicate. They combined those records with intercepted packages, communications and other case evidence to build financial links between suspects and crypto holdings. Authorities reported seizures of thousands of drug items and interception of dozens of domestic and international parcels allegedly linked to Team Kalki.

The NCB said the network used the encrypted messaging app Session, the darknet forum Dread and dead-drop delivery methods to distribute narcotics sourced from international suppliers. Law enforcement officials pursued the digital money trail alongside searches and physical seizures.

Binance and the DSCI provided wallet-level analytics and transaction tracing that, according to Binance, enabled authorities to locate assets and request freezes on funds held at exchanges and custodial platforms. When investigators supply wallet identifiers and supporting evidence, exchanges can take action to restrict access to those funds while probes continue, the company said.

Binance CEO Richard Teng wrote on X on July 27: “Crypto isn’t the criminal’s best friend — it’s often the trail that catches them.” S.B. Seker, head of APAC at Binance, noted that blockchain transparency allows authorities to trace and investigate illicit transactions and that combining those traces with law enforcement efforts can support cross-border probes.

The Team Kalki operation follows other Indian investigations that used blockchain tracing to locate illicit crypto proceeds, including an inquiry into the Ketamelon darknet syndicate and an earlier probe of a darknet marketplace alleged to have handled about $100 million in illicit transactions where similar analytic tools were used.

The NCB reported that the combined digital and physical evidence interrupted Team Kalki’s operations and dismantled parts of its financial infrastructure while criminal proceedings continue.