Bitcoin Fog Case Puts Spotlight on Chainalysis Crypto Tracing [BNN Bloomberg (Canada)]
Blackstone Inc. (BX)
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Source: BNN Bloomberg
To find their man, Internal Revenue Service agents turned to Chainalysis Inc., a blockchain analytics firm that helps law enforcement and corporations trace the flow of illicit funds. Using Chainalysis software, agents analyzed hundreds of thousands of Bitcoin Fog transactions. By April 2021, agents pounced. They arrested Roman Sterlingov, a Swedish and Russian citizen as he flew into Los Angeles, saying he ran a “go-to money laundering service for criminals seeking to hide their illicit proceeds from law enforcement.” They also charged him with operating an unlicensed money transmitting business related to “mixing,” a practice that makes it much harder to trace transactions by jumbling together tokens from different owners. Crypto mixing has been an enforcement priority for US prosecutors, who in August charged two founders of Tornado Cash with helping launder more than $1 billion for clients that included a North Korean cybercrime organization. Sterlingov, 35, has proclaime
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