FBI Shuts Down $70M Crypto Laundering Hub E-Note, Disrupting Cybercrime Cash Flow

The U.S. Federal Bureau of Investigation has dismantled a cryptocurrency money laundering platform operated by a Russian national. The operation, dubbed E-Note, is alleged to have facilitated the laundering of over $70 million in illicit funds tied to cybercrime, ransomware attacks, and account takeovers. Federal prosecutors in the Eastern District of Michigan announced the takedown alongside the unsealing of an indictment against Mykhalio Petrovich Chudnovets, a 39-year-old Russian accused of running the service according to reports.

E--note operated as a cash-out service for cybercriminals, enabling them to convert stolen cryptocurrency into fiat currency and move funds across international borders. Authorities seized servers, mobile applications, and websites such as e-note.com and e-note.ws. Investigators also obtained customer databases and transaction records, which are expected to aid ongoing probes into the network as research shows.

The operation is part of a broader U.S. law enforcement effort to disrupt crypto laundering services that support ransomware groups and other cybercriminals. E-Note is believed to have provided its services since 2010, initially as an informal operation and later as a more structured business. It allegedly served cybercriminals targeting U.S. healthcare systems and critical infrastructure, sectors particularly vulnerable to ransomware due to the potential for life-threatening disruptions according to cyber analysts.

The Takedown of E-Note

Federal prosecutors in the Eastern District of Michigan, working with international partners, executed a coordinated operation to dismantle E-Note. The FBI, Michigan State Police, and European law enforcement agencies targeted the platform's online infrastructure. As part of the action, servers hosting E-Note's operations were seized, effectively cutting off its ability to process transactions for cybercriminals according to law enforcement sources.

E-Note is believed to have laundered more than $70 million in illicit proceeds since 2017. The funds included cryptocurrency stolen or extorted from U.S. victims. The FBI highlighted that the platform allowed cybercriminals to move money with minimal oversight, making it an attractive option for those seeking to evade detection as data shows.

A Growing Threat to Cybersecurity

The takedown of E-Note highlights the intensifying U.S. crackdown on crypto laundering services that enable cybercrime. Federal authorities have increasingly focused on disrupting the financial infrastructure that supports ransomware and other digital heists. By targeting platforms like E-Note, law enforcement aims to raise the costs and complexity for cybercriminals seeking to monetize their attacks according to industry experts.

The operation was conducted in collaboration with European partners, including the German Federal Criminal Police Office and the Finnish National Bureau of Investigation. These international efforts are crucial in addressing cybercrime that often spans multiple jurisdictions. The FBI and its partners also obtained historical server data, which could help identify users and intermediaries linked to the platform as investigators report.

Broader Trends in Crypto Crime

Despite the success of operations like the E-Note takedown, crypto crime remains a growing problem. Chainalysis reported that $3.4 billion in cryptocurrency has been stolen in 2025 alone, with North Korea-linked actors accounting for nearly 60% of those losses. North Korean hackers stole $2 billion in crypto this year, with a major $1.5 billion heist from the Bybit exchange being one of the largest incidents on record according to financial reports.

The U.S. is not the only country facing this threat. In December, South Korea's Upbit exchange was attacked, with thieves transferring $30 million in digital assets. The country's National Intelligence Service has linked the incident to the North Korean hacking group Lazarus. These attacks underscore the global scale of the threat and the need for coordinated responses as experts observe.

What This Means for the Crypto Industry

The E-Note case is part of a broader regulatory and enforcement push in the U.S. toward crypto crime. In recent months, federal prosecutors have charged individuals and groups linked to ransomware and cyberattacks, while state agencies have seized cryptocurrency from investment scams. The industry has also seen increased scrutiny from the Securities and Exchange Commission, with new rules and enforcement actions reshaping the landscape according to industry analysis.

However, regulatory clarity remains a challenge. While the Trump administration has taken a crypto-friendly approach, including easing oversight and supporting the adoption of stablecoins, some key legislative efforts have stalled. The lack of comprehensive market structure legislation has left uncertainty for businesses and investors. Industry insiders are hoping for more clarity in 2026, particularly regarding potential exemptions from SEC rules as analysts note.

Looking Ahead

The E-Note takedown underscores the importance of continued global cooperation in addressing crypto laundering and cybercrime. While platforms like E-Note can be shut down, new services often emerge to fill the gap. Law enforcement agencies are working to stay ahead of these developments by leveraging blockchain analytics and real-time response networks like Beacon Network as experts state.

At the same time, the private sector is playing a growing role in disrupting criminal activity. Companies like Coinbase have partnered with law enforcement to trace stolen funds and identify suspects. Blockchain intelligence tools are becoming more sophisticated, enabling investigators to track illicit transactions across multiple networks as technology evolves.

The future of crypto enforcement will likely involve a combination of traditional law enforcement strategies and innovative technological tools. As the crypto industry continues to evolve, so too must the methods used to combat the risks it poses.