Crypto Laundering Ring Busted: $100M Seized in Europe

A multinational cryptocurrency money laundering gang has been dismantled, with the total funds involved exceeding $100 million. The European judicial organization recently announced the successful operation, which targeted a sophisticated money laundering service that used cryptocurrencies to transfer profits between criminal organizations.

The investigation revealed that the group had at least 52 members spread across Spain and Cyprus, conducting up to six money laundering transactions per week. In the operation, 23 suspects were arrested, $28 million worth of cryptocurrency was frozen, and around $8 million in cash was seized in various locations in Africa.

The case began in 2023 when Spanish border officials discovered a large amount of funds being transferred to Cyprus. The group transported cash via commercial flights and public transportation and maintained connections with multiple global corporations. The investigation showed that the group worked with contacts outside of their organization to liaise with clients and receive the cash to be laundered. Their contacts are linked to several commercial companies around the world.

Spanish, Cypriot, and German authorities worked together to bring down the ring, with experts from Europol helping to trace the flow of illicit cryptocurrencies between wallets. Dozens of raids were conducted, resulting in 20 arrests in Spain, two in France, and one in Slovenia.

This operation follows a similar case in the UK, where the National Crime Agency exposed a Russian money laundering scheme on a much larger scale through "Operation Destabilize." The operation resulted in more than 80 arrests and the seizure of $25.5 million in cash and crypto. In that case, digital assets were being used to reinvest in illicit businesses, enabling drugs and firearms to be purchased by gangs without physical cash moving across borders.

The borderless nature of cryptocurrencies means that law enforcement agencies in multiple jurisdictions must collaborate to thwart criminal gangs, with investigations often taking years to complete.