A 23-year-old Taiwanese man, Rui-Siang Lin, pleaded guilty before a federal judge in the southern district of New York on the 16th, admitting to operating and owning the dark web drug trading platform “Incognito Market,” involving charges of conspiracy to traffic drugs, money laundering, and conspiracy to sell counterfeit and counterfeit drugs. He is set to be sentenced on March 27, 2025.
According to the indictment, “Incognito Market” was established in October 2020 as a dark web platform specifically designed for drug transactions, integrating various commercial elements with the aim of facilitating seamless global drug trading.
The platform employed many functionalities similar to legitimate e-commerce websites, offering branding, advertising, and customer service, attracting over 200,000 users and selling illegal drugs such as heroin, cocaine, methamphetamine, LSD, as well as counterfeit prescription drugs.
Rui-Siang Lin, operating under the alias “Pharaoh” or “Pharoah,” had full control over the platform’s operations for over three years, managing employees, choosing suppliers, and making transaction decisions. He conducted over $80 million worth of cryptocurrency transactions through the platform, personally profiting over $11 million.
Each item on Incognito Market was sold by specific sellers. To become a supplier on the platform, sellers had to register on the website and pay an entrance fee, typically around 5% of the selling price for each drug.
The platform utilized cryptocurrency transactions and had an internal “banking system” where users could deposit cryptocurrency into their personal “bank accounts.” After a transaction was completed, the cryptocurrency would transfer from the buyer’s “bank account” to the seller’s “bank account,” with the system automatically deducting a 5% fee as platform revenue for employee salaries and server maintenance costs. This banking system ensured anonymity between buyers and sellers, keeping the transaction process covert.
The product list included some prescription drugs advertised as genuine but were found to be otherwise. In November 2023, an undercover law enforcement officer purchased hydrocodone through Incognito Market only to discover it was fentanyl, highlighting the high risk of the platform selling counterfeit or mislabeled prescription drugs.
Rui-Siang Lin’s domain purchases, registered phone numbers, and mailing addresses all pointed to Taiwan. Lin was caught at New York’s Kennedy International Airport in May 2023, revealing his true identity.
Lin pleaded guilty yesterday (16th) and faces the following penalties: a minimum of 10 years to life imprisonment for conspiracy to traffic drugs; up to 20 years for money laundering; and up to 5 years for conspiracy to sell counterfeit and counterfeit drugs.
Acting U.S. Attorney for the Southern District of New York, Edward Y. Kim, stated, “Rui-Siang Lin led a prolific online drug marketplace, selling over $100 million worth of drugs globally. While Lin profited millions from his elaborate scheme, the community suffered greatly. His actions worsened the opioid and fentanyl crisis, putting society at risk. Now, he will pay the price for his crimes.”