US Authorities Seize $34M in One of the Country's Largest Crypto Confiscations
The funds were allegedly gained by selling illicit goods, including stolen credentials.
Federal prosecutors in south Florida seized $34 million in crypto from a man they allege was selling stolen credentials on the dark web, saying it was one of the country's largest confiscations of crypto.
- A resident of south Florida had brought in millions of dollars through over 100,000 sales of illicit items and stolen online account information, such as credentials for Netflix and Uber, on different dark web marketplaces, the U.S. Department of Justice said in a Monday statementhttps://www.justice.gov/usao-sdfl/pr/united-states-forfeits-millions-cryptocurrency-used-launder-illicit-dark-web-proceeds.
- Authorities seized the assets under a civil forfeiture complaint, a court proceeding against the property rather than a person. This type of action doesn't require the suspect to be convicted for the assets to be confiscated.
- The person was using a privacy mixer, also known as a tumbler, to obfuscate the transactions, which violated money laundering statutes, the DoJ said. Police found several different wallets related to the activity.
- A privacy mixer was also used by Hydra Market, a now-defunct Russian dark web marketplace that traded mainly drugs, German police said on Tuesday.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.