Posts in category

Money Laundering


A U.S. crime-fighting agency is urging domestic exchanges to help prevent the Iranian regime from using cryptocurrency to bypass economic sanctions. The Financial Crimes Enforcement Network (FinCEN) published an advisory Friday, stating that Iran’s “illicit and malign” use of cryptocurrency to “exploit” the financial system includes at least $3.8 million-worth of bitcoin-denominated transactions every year. “While the use …

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The losses related to crypto hacks continue to rise sharply, with nearly $1 billion stolen so far this year, new research suggests. In the first nine months of 2018, hackers stole $927 million from the cryptocurrency exchanges and other platforms, according to a recent report from blockchain security firm CipherTrace. The document, titled “Cryptocurrency Anti-Money Laundering …

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This post was originally published here Much noise has been made about the untraceable qualities of Bitcoin and other cryptocurrencies. Bitcoin “can be used to buy merchandise anonymously” said early primers on crypto, it offers users the kind of financial privacy that was previously available only from a “Swiss bank account,” say more recent commentators. …

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Nearly $90 million potentially associated with criminal activity was laundered through 46 cryptocurrency exchanges, the Wall Street Journal reported Friday. In particular, the Journal reported, some $9 million was laundered through ShapeShift AG, the Erik Voorhees-led cryptocurrency exchange known for allowing users to maintain their anonymity, over a two-year period. Moreover, this was the largest …

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A 21-year-old bitcoin dealer from California is being prosecuted for allegedly committing numerous counts of illegal money transmission and money laundering. According to an announcement from the Department of Justice in the Southern District of California, Jacob Burrell Campos was ordered to be held without bail at a hearing on Friday in connection to the charges. …

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A former bitcoin trader and crypto exchange operator from the U.S. state of Arizona, has been sentenced to 41 months in jail, according to court documents. The sentencing was announced by the Department of Justice on Wednesday, after a federal jury convicted Thomas Mario Costanzo on five charges of money laundering on March 28. The sentence …

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Edan Yago has spent the last seven years engaged in payments using cryptocurrencies, first at Zynga, then as CEO of Epiphyte and now as the founder of a stealth startup developing a meta-stablecoin platform. Follow him on Twitter here. The worst-kept secret in cryptocurrency is that many projects are little better than scams: they’ve digested billions of …

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A group of Russian military intelligence officers indicted Friday as part of an ongoing investigation into Russian interference in the 2016 U.S. presidential election allegedly used bitcoin to fund their operations. In the just-released indictment, prosecutors assert that the 12 named intelligence officers hacked computer networks and email accounts owned and used by the U.S. Democratic Party, …

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A Los Angeles bitcoin trader was sentenced Monday to one year in federal prison after she admitted to operating an unlawful money transmission business. Theresa Tetley, a former stockbroker and real estate investor based in California, was also fined $20,000 and will give up 40 bitcoins (an amount worth roughly $254,000), nearly $300,000 in cash …

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Cryptocurrencies are “tailor-made” for foreign powers hoping to influence American elections, a security consultant told a group of U.S. senators on Tuesday. Scott Dueweke, director of threat analysis company DarkTower, was one of several witnesses appearing before the Senate Subcommittee on Crime and Terrorism to discuss the potential use of cryptocurrencies by foreign agents in order to …

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Japan’s financial watchdog has issued business improvement orders to six licensed cryptocurrency exchanges following on-site inspections conducted over recent months. According to an announcement made by the Financial Services Agency (FSA) on Friday, the regulator is ordering bitFlyer, QUOINE, BTC Box, Bit Bank, Tech Bureau and Bit Point to enhance their internal-auditing and user-protection systems. …

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The Financial Action Task Force (FATF), an intergovernmental organization that develops policies to tackle money laundering, is planning to develop binding rules for the world’s cryptocurrency exchanges, a report indicates. According to a Reuters report on Tuesday, an unnamed Japanese government official said that the group aims to hold talks around the subject starting on June 24. …

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Coinbase has lost another appeal in a lawsuit brought by former customers of the defunct cryptocurrency exchange Cryptsy, and the case will now proceed to a jury trial. An appeals court in Georgia on Monday affirmed a lower court’s denial of Coinbase’s appeal of the case, which blames the company for failing to stop Cryptsy’s …

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Taiwan aims to formally regulate bitcoin under anti-money laundering (AML) rules before the end of the year. According to the Taiwan Central News Agency, Chiu Tai-san, the country’s minister of justice, said at an anti-money laundering event on Friday that the nation aims to have the legal framework ready before a visit to Taiwan by the Asia …

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The government of Taiwan has moved a step closer to regulating bitcoin under anti-money laundering (AML) rules. In an announcement on Tuesday, the state’s Ministry of Finance said it will push for the regulation of cryptocurrencies under same AML rules already covering the traditional financial sector. Citing guidance issued by Financial Action Task Force, an intergovernmental …

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Europol has shut down a drug trafficking ring that used cryptocurrencies and credit cards to launder more than €8 million through a Finnish crypto exchange, it announced on Monday. The investigation was coordinated by Europol and executed by Spain’s Guardia Civil in conjunction with Finnish authorities and the investigative arm of the U.S. Department of …

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The Central Bank of Taiwan is eyeing new rules that would bring bitcoin under the island’s existing anti-money laundering regulations. During a meeting with Taiwan’s legislative arm Monday, central bank governor Yang Chin-long was questioned over how the banking authority would address the current “opacity” in bitcoin trading in the country, as highlighted by the …

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An Arizona bitcoin trader been convicted for using the cryptocurrency to launder the proceeds of drug deals. Thomas Mario Costanzo, who goes by Morpheus Titania on Twitter and operated a peer-to-peer bitcoin exchange website, was found guilty of charges of five money laundering by a federal jury in Phoenix on March 28, according to a Justice …

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Two South Korea financial regulators are reportedly launching a probe into domestic banks over their implementation of anti-money laundering procedures for cryptocurrency exchanges. According to a report from Yonhap, the Financial Intelligence Unit and Financial Services Commission (FSC) will launch the inspection starting next month at banks offering corporate accounts to cryptocurrency exchanges. The investigation, …

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Police officials in Rio de Janerio have uncovered a money laundering scheme in which state officials siphoned off money intended for prison supplies, using bitcoin to exchange some of the proceeds. The scam involved misstating the budget spent on food for state-run prisons, ultimately diverting funds worth $22.4 million – though only a small portion of the …

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