European Authorities Dismantle 21 Million Euro Crypto Money Laundering Network

In a significant operation, European law enforcement agencies, in collaboration with Spanish authorities, successfully dismantled a major money laundering network known as the “mafia crypto bank.” This criminal organization was accused of laundering over 21 million euros ($23.5 million) in cryptocurrency for criminal entities involved in migrant smuggling and drug trafficking. The operation, which took place in January 2025, resulted in the arrest of 17 suspects across Spain, Austria, and Belgium, with more than 250 officers involved.

The criminal organization operated a secret informal money transfer system called hawala, often receiving compensation in cryptocurrency. The seized assets included 4.5 million euros ($5 million) worth of items, such as cash, cryptocurrency, 18 vehicles, four shotguns, and several electronic devices. Notably, 183,000 euros ($205,000) of the seized assets were in cryptocurrency, and an additional 421,000 euros ($471,000) in cash was confiscated from 77 bank accounts linked to the organization. Luxury items, including bags, watches, and cigars worth 876,000 euros ($980,000), were also seized.

Most of those arrested have already been detained, with 15 of the 17 suspects being imprisoned as alleged perpetrators of the crimes linked to the organization. The majority of the arrested individuals were of Chinese and Syrian nationality, targeting clients in China and the Arabic-speaking criminal world. The criminal organization attempted to conceal its money laundering activities by operating a remittance business and even advertised these services on social media.

The investigation was led by a court in Almería, Spain, which coordinated with Europol and Belgian officials to dismantle the criminal organization. This case underscores the growing use of cryptocurrency in illicit activities and the necessity for enhanced international cooperation to combat such crimes. The successful dismantling of this network serves as a significant blow to criminal enterprises that exploit cryptocurrency for money laundering purposes.