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I'd be uneasy with electronically transferring funds for illicit drugs, cash seems wiser.
Why, though? You send on paypal as friends and family. You dont get taxed on that kind of transfer and i doubt it is being audited.
There is a level of trust you have to assume between a drug dealer and the customer. You retaining customers is all done on reputation. If you try to cheat your customers, they will all go elsewhere. There is a lot of incentive for dealers to run their "business" well and keep customers happy.
Cash means you need to meet face to face. This is far more risky. When i was younger and smoking weed, it was all face to face, meet someone somewhere and trade there. Or a car pulls up and you have a little chat and swap money for the bag. But this was dodgey. It was risky. It eneded up in arrests more often than you think.
Towards to end of my pot head days, it was all telegram to put orders in, delivered by royal mail via recorded delivery and money tranferred with an app as i mentioned above. This is more private than you think.
Although admittedly i never did this sort of transaction, everyone i know who was/is still smoking/vaping is doing it this way.
How does the dealer get the cash without potentially exposing their location?
Yes, indeed. Hence the earlier, "HOW GET MONEY?" someone so eloquently asked in relation to this dead drop method. You could arrange your own dead drop for the dealer's payment I guess, or stuff the money in to the same tree. It's all a bit fraught, and requires you both to trust each other even more than a deal normally would. The system seems to be pretty flawed. Guess it works of you're happy to leave an indelible record of you transacting with this person and if you trust them to actually put the goods there rather than just take the money since you'll never see them and have no recourse.
This is a solved problem on darknet markets. They use crypto and have reviews/escrow like Ebay. The only difference is they mail you the drugs instead of leaving it somewhere.