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Argentina records first seizure of stablecoins in money laundering bust

Argentina records first seizure of stablecoins in money laundering bust

GrafaGrafa2024/09/07 08:25
By:Mahathir Bayena

Argentina’s judicial system has recorded its first seizure of stablecoins, totaling nearly $28,600, from a criminal organisation involved in money laundering.

The criminal group used cryptocurrency to launder millions of dollars from two main activities: phone smuggling and operating illegal online casinos.

Local media have described this as the first operation of its kind in Argentina, marking a significant step in integrating cryptocurrency monitoring tools into law enforcement efforts.

The seized stablecoins will be transferred into state custody as part of the legal proceedings.

The Financial Intelligence Unit (UIF) identified more than $10 million in deposits flowing into the organisation’s Binance accounts.

Over $7 million in transactions were executed to mix and obscure the origins of the funds, further complicating tracking efforts.

The operation involved raids at 22 locations in Mar del Plata, where authorities seized cash, computer equipment, cell phones, and cryptocurrency mining devices.

Segundo Carranza, a cybercrime and money laundering expert, noted the significance of this case, stating, "This case sets an important precedent in Argentine jurisprudence and demonstrates the authorities’ commitment to combat money laundering and other financial crimes that adapt to new technologies such as cryptocurrencies."

Carranza added that cryptocurrencies, due to their pseudonymity, decentralisation, and ability to be easily transferred internationally, are “attractive” for criminals attempting to conceal illicit gains.

Argentine authorities did not disclose the specific tools or methods used to trace and seize the cryptocurrency.

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