Bitcoin Money Laundering Case: U.S. Jury Indict Prime Suspect

Bitcoin Money Laundering Case: U.S. Jury Indict Prime Suspect

The Bitcoin money laundering suspect, Alexander Vinnick, has been accused of being the operator who exchanged more than US$4 billion for people involved for various crimes such as drug trafficking and computer hacking. Vinnick was arrested at a small village at the beachside of Northern Greece on Tuesday, after which the investigation was led by the U.S. Justice Department, in association with task forces and a number of federal agencies.

Hacking of Mt. Gox another Charge on Vinnick

Described as the operator of BTC-e, an exchange mode utilized to trade currency bitcoin since 2011. The allegation against Vinnick and his colleagues is that they gained more than US$4 billion in bitcoin and used it for illegal business in the United States of America, ignoring predefined protocols for money laundering and related crimes. Alexander has also been charged for being behind the collapse of Mt. Gox, a Japanese bitcoin exchange that fell miserably in 2014, following a severe hack. Vinnick is said to have received funds from the hack, which he laundered to BTC-e and Tradehill as well as to other San Francisco–rooted exchanges he owned.

As the World moves towards digital currencies with technological advancements, protecting against wrongdoings such as hacking and money laundering has emerged glaring problem. This development is expected to install new faith in the consumers as new technology takes over. The arrest of Vinnick is also seen a significant step towards U.S. operating against the Russian cyber criminals in Europe. For example, the U.S. Justice department forced the shut-down of illegal market place AlphaBay

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Panchali Mallik

With a master’s degree in mass communication and journalism, Panchali Mallik-Tripathi’s forte lies in investigating and exploring interesting subjects such as business, lifestyle, technology, and science. Her extensive experience as a content expert in Internet marketing has rendered her the ability to delve deep into the historical, contemporary, and unexplored nuances of these sectors.

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