Cryptocurrency exchanges are used to "clean" stolen $$$ through illicit hacker activity. Recently, the U.S. government seized E-Note a cryptocurrency exchange which laundered over $70 million. This is a major step in combatting cybercrime.
Mykhalio Petrovich Chudnovets (a.k.a. Michael Chudnovets) the primary suspect is a Russian of age 39. He has allegedly operated E-Note and assisted criminals with laundering money stolen from ransomware attacks and hacked accounts since 2010. He may face a maximum sentence of 20 years.
Authorities seek to apprehend more cybercrime offenders and terminate other unlawful crypto networks by obtaining both the customer's personal information and their corresponding transactional documentation. For example, the recent seizure reflects that law enforcement agencies are gaining the upper hand with regard to cybercrime.
Thus, next time you hear of ransomware money going to crypto, keep in mind, law enforcement is aware, and one large seizure will cripple many criminal organizations.
What Happened??
In co-ordination with the FBI, DOJ, Michigan State Police, and partners from Finland and Germany, E-Note’s websites (e-note.com, e-note.ws, and jabbMN), mobile apps, servers, customer information, and transaction history were all confiscated.Mykhalio Petrovich Chudnovets (a.k.a. Michael Chudnovets) the primary suspect is a Russian of age 39. He has allegedly operated E-Note and assisted criminals with laundering money stolen from ransomware attacks and hacked accounts since 2010. He may face a maximum sentence of 20 years.
Why Does This Matter?
E-Note was a significant hub for cybercrime. Hackers used E-Note to facilitate the movement of stolen funds across borders via "money mules." The majority of funds laundered through E-Note resulted from ransomware attacks or from hacked personal accounts belonging to individuals living in the United States.Authorities seek to apprehend more cybercrime offenders and terminate other unlawful crypto networks by obtaining both the customer's personal information and their corresponding transactional documentation. For example, the recent seizure reflects that law enforcement agencies are gaining the upper hand with regard to cybercrime.
In conclusion
While there are many legal uses for crypto exchanges, they also serve as a venue for criminals to exploit. Nevertheless, through the comprehensive nature of this seizure, we see that law enforcement is taking the initiative.Thus, next time you hear of ransomware money going to crypto, keep in mind, law enforcement is aware, and one large seizure will cripple many criminal organizations.