Sweden Urges Authorities to Seize 83% More Crypto Profits

Sweden’s justice minister, Gunnar Strömmer, has urged local authorities to intensify their efforts in seizing criminal profits, with a particular emphasis on cryptocurrency. This directive is in line with a 2024 law that allows the confiscation of luxury items and cash from individuals, even if they are not the direct targets of an investigation. The law, which went into effect in November 2024, has already resulted in the seizure of over $8.3 million in criminal profits.

Strömmer highlighted the importance of increased cooperation among local police, tax authorities, and the Swedish Enforcement Authority. He stated, "We want them to strengthen their cooperation and focus extra on assets that generate large profits. Now it's a matter of turning up the pressure further." This call to action is part of a broader effort to combat criminal activities, including drug dealing and money laundering, which often involve the use of cryptocurrency.

The new legislation applies to all individuals, including children, young people, and those with serious mental disorders at the time of the offense. This comprehensive approach aims to ensure that no one is exempt from the legal consequences of their actions. Strömmer's call for increased seizure activity coincides with legislative efforts to create a national Bitcoin reserve, similar to initiatives in other countries. Advocates of this reserve, such as Sweden Democrat Dennis Dioukarev, support the intensified seizure activities as a means to fight crime and accumulate a strategic Bitcoin reserve.

However, there is no clear indication from the Minister's office on what will be done with the seized digital assets or the specific actions authorities should take to increase their seizures. The focus remains on leveraging the new legislation to its fullest extent to disrupt criminal networks and seize their ill-gotten gains.

The Swedish government's push for increased crypto seizures is part of a broader strategy to combat financial crimes. The Police Authority and Financial Intelligence Unit have previously reported that some crypto-exchanges are involved in professional money laundering. This report called for law enforcement to increase their presence on various crypto exchange platforms to identify and map illicit providers. The government's efforts to seize unexplained crypto holdings, even without direct evidence of a crime, reflect a proactive approach to tackling financial crimes in the digital age.