The FBI and Ukrainian police have shut down/ seized nine crypto exchange sites that were helping cybercriminals (including ransomware) launder proceeds from illegal activities (money laundering).
Money laundering refers to the process of disguising the proceeds of illegal activities as legitimate funds. This is a common practice for criminals who want to avoid detection or scrutiny by authorities.
In its statement, the FBI says it was supported by the Virtual Currency Response Team, the National Police of Ukraine, and the country's judicial officials in successfully completing the operation.
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The nine crypto exchange sites and their servers affected by this police operation are:
- 24xbtc.com
- 100btc.pro
- pridechange.com
- 101crypta.com
- uxbtc.com
- trust-exchange.org
- bitcoin24.exchange
- paybtc.pro
- owl.gold
When visiting any of these domains, a seizure banner that alternates its message between Russian and English.
The seized websites allowed users to anonymously convert crypto into harder-to-trace currencies in order to launder cybercriminals' money without being detected by law enforcement.
Most of these platforms offered users live support and instructions in Russian and English, covering a wide range of cybercriminal communities.
According to the FBI statement , “ crypto exchange sites that do not comply with the rules, have a lax anti-money laundering program, or collect little or no customer information ,serve as significant hubs in the cybercrime and operate in violation of Title 18 United States Code, Sections 1960 and 1956. ecosystem ”
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The FBI claims that by providing these services, crypto exchange sites knowingly support criminal activities and are considered complicit.
The sites' servers were located in the United States, Ukraine and other countries in Europe and were also seized during the police operation. The seized infrastructure can be analyzed by law enforcement authorities to uncover cybercriminals who were using it to launder illegal money.
Such businesses are very important, as these platforms allow scammers and hackers to continue their malicious activities and extortion and use the stolen funds in the real world.
By shutting down these crypto exchanges and other similar services, law enforcement is hindering the financial activities of ransomware, while at the same time sending a strong message to the operators of such platforms that illegal or shady activities will not be tolerated.
Similar businesses
In March 2023, the FBI, along with Europol and German police, seized the cryptocurrency mixing service “ChipMixer,” which was being used by hackers, ransomware gangs, and scammers for money laundering.
Late last month, the U.S. Treasury Department's Office of Foreign Assets Control (OFAC) imposed sanctions on brokers who supported North Korean cryptocurrency laundering networks.
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Finally, earlier this year, the US Department of Justice arrested the founder of Bizlato, a crypto exchange registered in Hong Kong, on charges of helping cybercriminals launder illegal money.
Money laundering is a serious threat to the global economy and its impact can be far-reaching. It undermines the integrity of the financial system and facilitates criminal activity. So we understand how important this operation by the FBI and other law enforcement agencies was.
Source: www.bleepingcomputer.com
