"BTC-e $9bn Crypto-Money Launderer Pleads Guilty"

A Russian national has recently pleaded guilty to his role in a major money laundering conspiracy tied to the infamous BTC-e cryptocurrency exchange. According to the Department of Justice (DoJ), Alexander Vinnik, 44, was one of the operators of the exchange from its launch in 2011 to when law enforcers shut it down in 2017. The DoJ noted that during that time, it processed over $9bn-worth of transactions and served over one million users worldwide, many of whom were cybercriminals looking to clean the proceeds of their illegal activity. The DoJ claims that Vinnik caused criminal losses in excess of $120m by enabling criminals to launder the proceeds from computer intrusions, ransomware breaches, identity theft schemes, corrupt public officials, and narcotics distribution rings. BTC-e did business in the US but was not officially registered as a money services business with the US-led anti-money laundering (AML) organization, the Financial Crimes Enforcement Network (FinCEN). The DoJ noted that BTC-e used shell companies and affiliates that were also lacking in AML or FinCEN registration to help it transfer funds worldwide. Vinnik was first arrested back in 2017 in Greece but then faced a three-way tussle over extradition with Russia, the US, and France all seeking to put him on trial. France eventually won that battle, and Vinnik was sentenced there in 2020 to several years behind bars.

Infosecurity Magazine reports: "BTC-e $9bn Crypto-Money Launderer Pleads Guilty"