The US Federal Bureau of Investigation (FBI) and Ukrainian law enforcement seized the domain names of nine Bitcoin exchanges. The institutions claim that these nine cryptocurrency exchanges are aiding and abetting cybercrime. Here are the details…
FBI and Ukraine seize 9 Bitcoin exchanges
The domains of nine crypto exchanges allegedly aiding and abetting cybercriminals were targeted. These domains were seized by the US Federal Bureau of Investigation (FBI) and Ukrainian law enforcement. The press release made on May 1 revealed the details on the subject. According to the statement, the Detroit Field Office of the FBI and the National Police of Ukraine closed the domains of nine crypto exchange services. The two institutions “conducted a coordinated, court-approved activity”. Domains seized included the websites 24xbtc.com, 100btc.pro, pridechange.com, trust-exchange.org, and bitcoin24.exchange. Each of them reportedly offers completely anonymous cryptocurrency exchange services to its users. It is also stated that these exchanges bypass most of the rules and regulations required by licensed crypto exchanges.
Anyone trying to access these websites will see a notification that the authorities have taken over the sites. The FBI mentioned some issues with exchanges that offer services in both English and Russian. He pointed out that these offer “loose” anti-money laundering measures. He also pointed out that the minimum amount of customer identification (KYC) information is collected, and sometimes not at all. The bureau claimed that such unlicensed exchanges “serve as important platforms in the cybercrime ecosystem.” According to the bureau, many of these cryptocurrency exchanges have appeared on “online forums where criminal activity is discussed.” In addition, the following statements were included in the announcement:
Most of the criminal activity that occurred on the affected exchanges involved the cyber actors responsible for the ransomware, as well as other scammers and cybercriminals.
The FBI is very active in the cryptocurrency space.
As we reported on Kriptokoin.com, the FBI has been involved in a number of crypto-related issues in recent months. On April 27, the FBI conducted a search of the home of former FTX executive Ryan Salame regarding his role as one of Sam Bankman-Fried’s former senior advisers. On February 3, the FBI seized 86.5 Ethereum. It also seized two non-fungiable tokens (NFTs) worth more than $100,000 from a reported phishing scammer. The seizure was revealed in September 2022. This development was the result of a lengthy investigation conducted by independent Blockchain detective ZachXBT. Because ZachXBT was the first person to reveal the activity on Twitter.
In general, such movements are easily visible, as Blockchain activities are transparent. In March 2023, the FBI, together with Europol and German police, seized the ‘ChipMixer’ cryptocurrency mixing service. On April 24, 2023, the US OFAC sanctioned brokers supporting North Korean crypto laundering networks.
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