47 cryptocurrency exchanges closed…

Crypto news from Germany: Crypto raid closes 47 platforms

Germany has taken a major step against illegal cryptocurrency activities, shutting down 47 crypto exchanges linked to an “underground economy.” These platforms allegedly enabled cybercriminals to launder illicit funds by failing to enforce anti-money laundering laws. Germany’s Federal Criminal Police Office, Frankfurt Public Prosecutor’s Office, and Cybercrime Bureau released a joint statement on September 19, making it clear that they will take action against the criminals who used these services.

Warning to crypto criminals

A stern warning was issued to users of the seized exchanges. German authorities have taken over their servers, including development, production and backup servers. This means that they now have all transaction data, registration data and IP addresses of those involved. The message to the criminals was clear: “We have found your data. Our investigation begins now. See you soon.”

International obstacles to prosecution

However, authorities acknowledged that it could be difficult to prosecute everyone involved. Many of the users live in countries where cybercrime is either tolerated or protected. This could make it difficult for Germany to bring them to justice. But with over 410,000 users tied to just one platform, Xchange.cash, it is obvious that these exchanges have had a significant impact on global cybercrime.

Seized exchanges and their role

The closed exchanges included 60cek.org, Baksman.com and Prostocash.com, platforms that allowed criminals to exchange illegally obtained money into regular currencies. One of the most active exchanges, Xchange.cash, had been operating since 2012 and facilitated over 1.3 million transactions. The seizure of these exchanges by the German government is a significant blow to the global cybercrime economy.

Germany’s latest Bitcoin sell-off

In a similar move, Germany was one of the world’s largest Bitcoin holders until recently. Between July and August, the country sold nearly 50,000 Bitcoin seized from the piracy website Movie2k.to in 2020. At current market rates, the sale was valued at around $3.15 billion. This mass sale of Bitcoin is further evidence of Germany’s commitment to curbing the criminal profits from cybercrime activities.

By seizing and selling illegal funds, Germany is sending a clear message: there is no safe haven for those who use cryptocurrencies to support illegal activities.

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