August 13, 2021
The Security Service of Ukraine (SBU) has dismantled a network of cryptocurrency exchanges with more than 1000 customers used for anonymous transactions since the start of 2021.
Customers used the exchange to launder money received from Russian electronic payment processors such as Yandex.Money, Qiwi and Webmoney.
The monthly amount of money laundered was $11 million, a tiny fraction of the billions of cryptocurrency assets that were legally processed through the top 10 exchanges each month. Nevertheless, administrators were able to make more than $500,000 by earning between 5 and 10% interest on each transaction.
The SBU noted that “The clandestine cryptocurrency exchanges were in demand because they provided anonymity of transactions and possibility of money laundering.”
Following an investigation by the SBU Main Directorate and searches at five locations in Kyiv’s Pechersky, Shevchenkivskyi, and Solomianskyi districts of Kyiv, the security forces seized computers and server machines with evidence of illegal activities. They also seized mobile devices with VPN software installed, seals and documents from bogus companies registered in Ukraine and used for money laundering activities, and finally $37,330 in cash.
For more information, read the original story in BleepingComputer.
