The US Treasury Imposes Sanctions on Cryptocurrency Mixer Sinbad
The United States Treasury Department’s Office of Foreign Assets Control (OFAC) has imposed sanctions on cryptocurrency mixer Sinbad. The platform is accused of laundering funds for the North Korea-based hacking group Lazarus.
Sinbad’s Involvement in Money Laundering
According to OFAC, Sinbad processed millions of dollars’ worth of virtual currency from Lazarus Group heists. These include the hacking incidents involving Horizon Bridge, Axie Infinity’s Ronin Bridge, and Atomic Wallet. The combined losses from these hacks amounted to around $850 million at the time.
Consequences for Criminal Actors
The Treasury Deputy Secretary, Wally Adeyemo, stated that mixing services like Sinbad, which enable criminal actors such as Lazarus Group to launder stolen assets, will face serious consequences. The Treasury Department and its US government partners are committed to using all available tools to prevent virtual currency mixers from facilitating illicit activities.
Hot Take: Sanctions on Sinbad Highlight Crackdown on Crypto Crime
The recent imposition of sanctions on Sinbad by the US Treasury demonstrates a growing crackdown on cryptocurrency-related criminal activities. By targeting platforms involved in money laundering and illicit transactions, authorities aim to disrupt the financial infrastructure supporting cybercriminals. This move underscores the commitment to hold accountable those who facilitate illegal activities within the crypto space. It serves as a reminder that regulators are actively monitoring and taking action against entities involved in facilitating financial crimes through cryptocurrencies.
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