The executive was allegedly involved in a sophisticated money laundering operation with links to disgraced payments firm Wirecard.
Dominic Lacroix, Sabrina Paradis-Royer and Yan Ouellet are charged with securities fraud, wire fraud and conspiracy to commit money laundering.
Digital currency exchanges with KYC and AML procedures, such as Huobi, Binance, and even Coinbase, were reportedly the digital currency exchanges that the most money was laundered through.
Bitcoin is for cash micropayments, and not as a workaround for money laundering laws, according to Dr. Craig Wright.
The SEC is pressing charges including money laundering, wire fraud, and aiding and abetting in an unregistered digital securities sale.
Authorities identified bank accounts belonging to digital currency OTC traders suspected of involvement in illegal money laundering activity.
The group allegedly used Huobi’s platform to transfer the proceeds of fraud to an overseas bank account via digital currency transactions.
Rand research listed three illicit use-cases for digital currencies: money laundering, trade in illicit goods and services, and terrorism financing.
Russia has requested the home detention of alleged fraudster Alexander Vinnik amid concerns over COVID-19.
Huobi has launched Star Atlas, a tool it believes will track illicit transactions on the blockchain, allowing the exchange to detect fraud and money laundering.