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One spring day in a village just west of London, residents saw a man being muscled into a car in front of a nearby house. He reappeared with cuts and

One spring day in a village just west of London, residents saw a man being muscled into a vehicle in front of a nearby house. He reappeared with cuts and bruises 13 hours later, but the cops had already discovered the house was a cannabis-growing operation. A separate search of the man’s home in a nearby town turned up something more intriguing — some of the first cryptocurrency that would ever be seized by British police. That era-defining 2017 case yielded a safety-deposit box containing jewelry, gold bars, ￡263,000 (US$342,000) in cash and an item that flummoxed the lead investigator,...

The qualities that make cryptocurrencies attractive to criminals — some think they’re easier to hide and transfer than other assets — are challenging law enforcement.