Europol reports $19.5M in crypto seized in enforcement action against Bitzlato

The European Union Agency for Law Enforcement Cooperation, oregon Europol, has reported authorities took power of crypto wallets containing much than $19 cardinal successful cryptocurrency arsenic portion of enforcement actions against crypto steadfast Bitzlato.

In a Jan. 23 announcement, Europol reported that astir 46% of assets — 1 cardinal euro, oregon $1.09 cardinal astatine the clip of work — moved done Bitzlato were linked to illicit activities. The authorities agency’s investigation suggested that Bitzlato received much than 2.1 cardinal euro successful cryptocurrencies including Bitcoin (BTC), Dash (DASH), and Dogecoin (DOGE), overmuch of which was converted into Russian rubles.

“While the conversions of crypto-assets into fiat currencies is not illegal, investigations into the cybercriminal operators indicated that ample volumes of transgression assets were going done the platform,” said Europol. “The bulk of suspicious transactions are linked to entities sanctioned by the Office of Foreign Assets Control (OFAC), with others linked to cyber scams, wealth laundering, ransomware and kid maltreatment material.”

— Europol (@Europol) January 23, 2023

As portion of actions by a cryptocurrency-focused enforcement team, U.S. authorities announced connected Jan. 18 they had arrested Bitzlato laminitis Anatoly Legkodymov successful Florida. Europol added that the operation, which progressive enactment from agencies successful Belgium, Cyprus, Portugal, Spain and the Netherlands, resulted successful the apprehension of 4 different individuals linked to the crypto speech — 1 successful Cyprus and 3 successful Spain.

Related: Bitzlato kept a debased profile, but did not spell wholly unnoticed earlier DOJ action

In summation to the arrests, Europol reported authorities had seized wallets worthy astir 18 cardinal euro, oregon $19.5 million, and frozen much than 100 accounts astatine different crypto exchanges which controlled 50 cardinal euro. U.S. authorities were besides progressive successful efforts to prehend Bitzlato’s servers for allegedly being a “primary wealth laundering concern” connected to Russian illicit finance.

Legkodymov was reportedly arraigned successful U.S. District Court for the Southern District of Florida connected Jan. 18 pursuing his arrest. It’s unclear what charges, if any, his associates astatine Bitzlato whitethorn look successful Europe.