Europol Seizes $46M from Crypto Mixer After $2.88B Laundering
• Europol seized $46 million from cryptocurrency mixer ChipMixer for allegedly laundering $2.88 billion over the past five years.
• The ChipMixer website has been shut down and four servers hosting the application have been seized.
• Law enforcement agencies from Belgium, Germany, Poland, Switzerland, the U.S., and U.S. Department of Justice were involved in the investigation and enforcement action.
Europol Seizes Assets of Crypto Mixer
According to The European Union Agency for Law Enforcement Cooperation (Europol), on March 15, they seized assets of cryptocurrency mixer ChipMixer for its alleged involvement in money laundering activities. Total assets seized include 1,909.4 Bitcoin ($24,709) in 55 transactions amounting to 44.2 million euros ($46 million).
ChipMixer Allegedly Laundered Over 2 Billion Euros
Decentralized finance analyst ZachXBT previously alleged on Nov 25, 2022 that hacker(s) of defunct cryptocurrency exchange FTX laundered 360 BTC ($5.9 million) using ChipMixer after an $372 million exploit. According to law enforcement officials, it is estimated that since its inception in 2017 ChipMixer laundered over 2.73 billion euros through its services which block blockchain trails making them attractive for cybercriminals looking to launder illegal proceeds from criminal activities such as darkweb markets, ransomware groups, illicit goods trafficking and stolen crypto assets procurement of child sexual exploitation material .
Law Enforcement Agencies Involved
The investigation and subsequent enforcement was coordinated by the Belgian Federal Police, the Federal Criminal Police Office of Germany ,the Central Cybercrime Bureau of Poland ,the Cantonal Police of Zurich Switzerland ,the U.S Federal Bureau of Investigation ,the U.S Department Of Homeland Security ,and the U S Department Of Justice .
Chipmixer Services Block Blockchain Trails
Deposited funds in Chipmixer would be turned into “chips” or small tokens with equivalent value which were then mixed together to anonymize the initial trail of funds .
Conclusion
In conclusion Europol successfully seized a large sum from Chipmixer due to its alleged involvement in money laundering activities . This investigation was conducted by multiple law enforcement agencies worldwide and will hopefully serve as a warning against similar practices as cryptocurrencies become more widespread .
