How do you think: does crypto make criminal life much easier? We all know that criminals use crypto to sell drugs, guns, people and everything else. Did crypto make doing such things easier?
No, they didn't make things easier for them, it's not like they can convert their cryptos to fiat that easily, for that reason it is too much a hassle to even use crypto for illicit activies, for them it's way better and faster to use fiat currency.
But now they can just use crypto and all the headache about this financial troubles passed away.
You can't just go around laundering money and whatnot when there are AML/KYC policies pretty much everywhere in the cryptosphere.
Criminals also worsen the reputation of crypto that is not really stable itself.
Cryptos have been used for illicit activies for a very long time and yet cryptos are still growing in terms of popularity and value.