The US authorities seized illegal exchange websites and shut down Russian cryptocurrency money laundering operations

The U.S. Justice Department, in collaboration with other state and international law enforcement agencies, seized the websites of unlawful cryptocurrency exchanges that were purportedly supporting Russian money laundering networks in a coordinated effort.

A press statement issued on Thursday stated that the actions involved an indictment against Sergey “Taleon” Ivanov, a Russian national who is a prolific cyber money launderer. Ivanov’s services have been employed by other large-scale cybercriminals to attack significant U.S. companies.

Apparently, Ivanov was the founder and operator of the Russian payment and exchange services UAPS, PinPays, and PM2BTC, which offered money transfer and laundering services to criminals. The on-chain analysis revealed that 32% of all traced Bitcoin sent to the addresses of these platforms originated from addresses associated with illicit activity, such as darknet drug trafficking and ransomware operations.

The Secret Service obtained court sanction to seize the domains of UAPS and PM2BTC, as well as Cryptex, another notorious platform that advertised its money laundering-as-a-service business.

Law enforcement authorities in the Netherlands seized servers hosting PM2BTC and Cryptex in response to this, resulting in the recovery of over $7 million in cryptocurrencies.

The same indictment also charged Timur Shakhmametov, a Russian individual who is known online as “JokerStash” and “Vega.”

Additionally, Dogecoin experiences a 9% increase amid optimistic predictions for the cryptocurrency: Beating this threshold will constitute a significant milestone.

The confiscation of these domains by the government will obstruct their use for money laundering. According to the Department of Justice, travelers to these locations will now encounter a notification that signifies their seizure by the federal government.

The escalation of cryptocurrency-related crimes prompted this assault on money laundering operations. The FBI apprehended two individuals earlier this month on suspicion of stealing and laundering more than $230 million in Bitcoin. Malone Lam and Jeandiel Serrano, the perpetrators, were accused of attempting to launder thousands of stolen Bitcoins through the use of blending services.

These incidents underscore the escalating apprehension regarding the utilization of cryptocurrencies in criminal activities and the heightened vigilance of U.S. authorities in their efforts to combat such offences.

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