Reported by: Mat Di Salvo Funds are flowing out of crypto lender Nexo following news that prosecutors in Bulgaria are investigating the company for fraud, according to blockchain analytics firms. Nexo is a British digital asset platform that loans out client funds and uses the proceeds to pay interest. (Disclosure: Nexo is one of Decrypt’s 22 investors.) […]
Reported by: Douglas MacMillan and Tory Newmyer Federal prosecutors are examining American hedge funds’ dealings with cryptocurrency exchange Binance as part of a long-running investigation into potential violations of money-laundering rules at one of the world’s leading crypto companies. In subpoenas sent in recent months, the U.S. attorney’s office for the Western District of Washington […]
Reported by: Department of Justice, U.S. Attorney’s Office, Eastern District of New York A criminal complaint was unsealed today in federal court in Brooklyn charging Aurelien Michel, a French national residing in the United Arab Emirates (UAE), with defrauding purchasers of “Mutant Ape Planet” NFTs, a type of digital asset, of more than $2.9 million […]
Reported by: Chris Prentice The U.S. Securities and Exchange Commission (SEC) is seeking details about FTX investors’ due diligence, according to two sources familiar with the inquiry, as fallout from the crypto firm’s collapse spreads. The SEC has so far brought charges against three of FTX’s top executives, accusing them defrauding investors in the crypto trading platform […]
Reported by: Zahra Tayeb US prosecutors in New York have put together an FTX Task Force to nail down and recover billions of dollars of missing funds belonging to the collapsed crypto exchange’s customers. More than 1 million customers could be affected by what the US government has described as an epic fraud at FTX. […]
Reported by: Tory Newmyer Coinbase, the largest U.S.-based cryptocurrency trading exchange, will pay a $50 million fine to settle allegations from New York regulators that it broke the law by failing to adequately guard against money laundering on its platform. The company will spend an additional $50 million over the next two years beefing up […]
Reported by: Richard Vanderford “Cryptocurrency is here to stay,” a top Internal Revenue Service law enforcer said, and the tax-collection agency wants to partner with the industry to fight financial crime. The IRS Criminal Investigation division is bringing on hundreds of new agents a year, including many who will be directed to work on digital […]
Reported by: Hugh Son U.S. banking regulators warned financial institutions on Tuesday that dealing with cryptocurrency exposes them to an array of risks, including scams and fraud. “The events of the past year have been marked by significant volatility and the exposure of vulnerabilities in the crypto-asset sector,” the regulators said in a joint statement from the […]
Reported by: Zack Whittaker, Carly Page Arrested, seized, doxed and detained. These are just some of the ways police and prosecutors around the world took down the biggest cybercrime operations of the year, even if it meant resorting to new and unconventional eyebrow-raising methods. From stashing billions of bitcoin under the floorboards to teenage hackers […]
Reported by: Alix Langone The US Department of Justice has launched a criminal investigation into $372 million in stolen FTX assets, according to a new report from Bloomberg. The probe, which is independent of the fraud case against FTX co-founder Sam Bankman-Fried, centers on more than $370 million that went missing mere hours after the cryptocurrency […]
Financial Crime News Briefs 