Italian police shut down darknet market allegedly run by a teenager that listed for sale drugs, weapons, fake ID and “bank drop” money laundering services, including to Canadians

Canadians among top users of seized darknet drug and weapons site The Italian Guardia di Finanza has arrested three individuals in Italy who are alleged to have operated the darknet site on TOR called the Berlusconi Market. The Berlusconi Market had over 100,000 illegal goods and services listed for sale such as illegal drugs, fake […]

SEC obtains emergency order against Telegram’s ICO, which raised $1.7 billion from investors

Ex parte injunction The Securities and Exchange Commission (“SEC“) announced today that it filed an emergency application ex parte in US Federal District Court in Manhattan, and after a hearing, obtained a temporary order over the initial coin offering (“ICO“) launched by Telegram Group, Inc. (“Telegram“), the messaging application, which raised $1.7 billion from investors around […]

Bitcoin rich kid who sold drugs on the darknet laced with fentanyl sentenced to 17 years in prison

A 22-year-old California man named Wyatt Pasek, was sentenced on August 26, 2019, to more than 17 years in prison in California for selling fake oxycodone pills laced with fentanyl and other synthetic opioids. Pasek sold drugs on the darknet on a marketplace under the name “OxyGod”, and was paid with Bitcoin. The proceeds of crime […]

US Treasury files civil claim against foreign Bitcoin exchange and its owner / officer to enforce penalties of $100M for AML failures

The US Attorney for the Northern District of California, on behalf of the US Treasury, has filed a civil complaint against the Bitcoin exchange known as BTC-e and one of its alleged owners / officers, Alexander Vinnik, to enforce over $100 million in monetary penalties for a series of anti-money laundering law violations. BTC-e was […]

Bitcoin for terrorist financing linked to an exchange

For years now, people in the digital currency space have expressed concern about digital currency exchanges and digital currencies being abused for terrorist financing. Another report, this time from researchers at BellingCat, have apparently traced the use of a digital currency exchange directly to a terrorist group. Terrorist financing is not only prohibited and a […]

US DoJ unseals indictment against two people associated with payment processor of digital currency exchanges

The DOJ from the Southern District of New York, unsealed a grand jury superseding indictment against two people today for allegedly providing payment processing services to digital currency exchanges without being licensed and under circumstances where they allegedly lied to obtain bank accounts. They are charged with bank fraud. According to the indictment, Reginald Fowler, […]

New York Attorney General obtains ex parte order against digital currency exchange Bitfinex

The Attorney General of the State of New York, Letitia James, announced yesterday, that her office obtained an injunction and an order for documents in Court against a large international digital currency exchange called Bitfinex and a number of companies associated with it (namely, iFinex Inc., BFXNA Inc., BFXWW Inc., Tether Holdings Limited, Tether Operations Limited, […]

China’s Supreme People’s Procuratorate comments on Blockchain-based evidence for Court purposes

China’s Supreme People’s Procuratorate, the highest national legal supervisory body in China (which reports to the National People’s Congress), published a commentary by a learned legal scholar on its official website on the use of Blockchain for Court evidentiary purposes yesterday, noting that for it to grow as a source of reliable evidence in Chinese […]

A guy stole $2M in Bitcoin mining equipment, escaped from prison, jumped on a plane with the Prime Minister of Iceland and no one stopped him

Sindri Por Stefansson was recently sentenced to 4 1/2 years in prison in Iceland for masterminding the theft of $2M worth of Bitcoin mining machines. Mr. Stefansson was arrested in February 2018 in Iceland with several others, and ordered held in connection with computer theft, for over $2M worth of mining equipment. He was held […]