OFAC Targets Chinese Fentanyl Traffickers; Sanctions 17 Crypto Addresses
The Office of Foreign Asset Control (OFAC) has recently updated its specially designated nationals (SDN) list to include several alleged fentanyl traffickers from China and their associated cryptocurrency addresses. These crypto addresses are linked to decentralized networks like Bitcoin, Ethereum, and Tron.
On October 3, 2023, OFAC identified 17 new addresses associated with blockchains such as Bitcoin, Ethereum, Tron, and digital asset tether (USDT). These addresses were connected to a network of fentanyl suppliers primarily based in China but also linked to entities in Canada.
Chainalysis conducted a study on the subject and found that these addresses collectively received $3.8 million worth of cryptocurrency. OFAC sanctioned individuals including Bahman Djebelibak, Shen Xianbiao, Wang Jiantong, Zhang Wei, Xia Fengbing, and Wang Mingming, along with the Canada-based company Valerian Labs.
Fengbing was responsible for managing the crypto addresses for an organization called Jiangsu Bangdeya New Material Technology. Chainalysis discovered that the sanctioned addresses also had connections to various mainstream exchanges and received a significant amount of funds from darknet markets. This update follows OFAC’s recent sanctions on BTC addresses allegedly involved in Iran-linked ransomware activities.
U.S. Department of Justice Announces Eight Indictments Against Chinese Chemical Manufacturers
In addition to the OFAC sanctions, the U.S. Department of Justice (DOJ) has announced eight indictments against a ring of fentanyl, methamphetamine, and precursor chemical dealers. These indictments target both companies and individuals involved in openly advertising illicit chemical sales and using tactics to evade law enforcement.
Attorney General Merrick Garland stated that the global fentanyl supply chain, which leads to the deaths of Americans, often starts with chemical companies in China. The DOJ’s actions aim to combat this issue and hold those responsible accountable for their involvement in illegal drug trafficking.
Hot Take: Taking Strong Measures Against Fentanyl Trafficking
The OFAC’s updated list of crypto addresses associated with alleged fentanyl traffickers from China showcases the ongoing efforts to crack down on illicit activities in the cryptocurrency space. By targeting these addresses and imposing sanctions, authorities are disrupting the flow of funds supporting the fentanyl trade.
Furthermore, the U.S. Department of Justice’s indictments against Chinese chemical manufacturers involved in the production and distribution of fentanyl highlight the determination to dismantle the entire supply chain that fuels this deadly drug epidemic.
These coordinated actions send a strong message that international cooperation is crucial in combating transnational crime and protecting public health. It underscores the need for continued vigilance and regulation within the cryptocurrency industry to prevent its exploitation by criminal elements.
By
By
By
By
By
By