FBI seizes $1.7 million in cryptocurrencies, including significant ETH confiscation, targeting breaches of federal regulations and warning against crypto-related scams.
Key Points
- FBI seizes $1.7 million in crypto assets from March to May, targeting breaches in federal regulations.
- Seizures include BTC, ETH, USDT, Dai, and XMR across multiple states, combating illicit activities.
- Largest ETH seizure of 428.5 ETH worth around $463,000 in Eastern District of Virginia.
- FBI conducts raids on industry players like Kraken’s Jesse Powell and FTX subsidiary CEO, warns against crypto-related human trafficking scams.
In its ongoing efforts to combat illicit activities, the Federal Bureau of Investigation (FBI) has confiscated approximately $1.7 million worth of crypto assets from March to May in the United States.
#Crypto assets seized by the Federal Bureau of Investigation included #Bitcoin, #Ether, #Tether, #Monero and #Dai. 🕵️
A public filing released by the United States Federal Bureau of Investigation (FBI) shows that the law enforcement agency seized around $1.7 million pic.twitter.com/o9Lvucy85I
— CRYPTO | BUSINESS | MAKE MONEY (@Crypto_golds) August 18, 2023
Seizures Resulting from Breaches in Federal Regulations
The recent seizures were carried out as a result of numerous breaches in federal regulations.
The law enforcement agency took control of various cryptocurrencies, including $147,000 in Bitcoin (BTC), $800,000 in Ether (ETH), $307,000 in Tether (USDT), 469,000 in Dai, and $20,000 in Monero (XMR).
These seizures were conducted across multiple states, including Arizona, California, Connecticut, Florida, and more.
According to an official document, the FBI seized a total of 428.5 ETH in the Eastern District of Virginia, amounting to approximately $463,000.
This marks the most significant confiscation of Ether to date. In addition to digital assets, the FBI also documented the seizure of US Dollars from bank accounts, sports cars, luxury items such as bags, clothing, and footwear, among others.
FBI’s Actions Against Fraudsters in the Crypto Space
The FBI has been consistently issuing warnings against fraudsters operating in the crypto space. In their efforts to tackle illicit activities, the law enforcement agency has also conducted raids on the residences of well-known industry players.
In July, the FBI searched the residence of Jesse Powell, the founder of Kraken, a well-known cryptocurrency exchange. This raid took place a few months after a nonprofit organization accused Powell of engaging in hacking and cyberstalking activities.
Concluding Thoughts
The former CEO of FTX’s Bahamian subsidiary, Ryan Salam, also faced a similar fate when his house was raided by the FBI. Salam had reportedly turned against Sam Bankman-Fried, the founder of FTX, days before the subsidiary filed for bankruptcy.
Earlier this year, the FBI issued a warning about fake job advertisements that entice people to Southeast Asia. Innocent victims who fall for these ads are then held against their will and coerced into perpetrating international crypto scams on unsuspecting victims.
