Hong Kong police arrest four on alleged tethered money laundering worth $ 155 million | Currency News | Financial and business news
Regulators pay close attention to the crypto world.
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- Hong Kong authorities reportedly arrested four men for an alleged $ 155 million money laundering program.
- The men, between the ages of 24 and 33, made transactions in Tether on a trading platform, officials said.
- Cryptocurrencies have long been used in crime because they offer anonymity and are difficult to track.
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Hong Kong customs authorities have arrested four people in connection with an alleged $ 155 million money laundering program involving the cryptocurrency Tether.
According to reports from Bloomberg and local media, four men between the ages of 24 and 33 were arrested in an operation called the “Coin Breaker”.
Hong Kong customs officials told the media that the men opened various bank accounts and then made transactions in Tether – the largest stablecoin – through a crypto exchange, outlets reported. The transactions involved HK $ 1.2 billion worth of cryptocurrency valued at approximately $ 155 million.
Officials said it was the first time they had discovered a suspected money laundering system that used digital currency. They did not name the crypto trading platform involved. Insider contacted the Hong Kong Customs Office.
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Cryptocurrencies have long been used in crime because they can be used anonymously and are difficult to track.
On Friday, the U.S. District Court in Seattle announced that a 33-year-old identity thief who used Bitcoin to avoid detection was sentenced to three years in prison.
And on Tuesday, the London Metropolitan Police said they had seized $ 249 million worth of cryptocurrency in an alleged money laundering case.
Top lawmakers have repeatedly raised concerns about cryptocurrency. US Treasury Secretary Janet Yellen proposed in January that cryptocurrencies should be “trimmed” by saying, “Many are – at least in the transactional sense – mainly used for illegal funding.
In Hong Kong, as in the UK, crypto companies have to register with the financial regulator for anti-money laundering purposes.