BTC-E Exchange, Alexander Vinnik Indicted For Millions of Dollars

Prosecutors from the United States are after a cryptocurrency exchange, BTC-e, that has gone defunct. More specifically, they’re after its once possible owner, Alexander Vinnik, reports CoinTelegraph.

FinCEN is after Vinnik

This news comes to us via a document that went live in the Northern District of California this July 25. The group after Vinnik is the Financial Crimes Enforcement Network (FinCEN). In fact, FinCEN decided how they’re going to fine both the platform and Vinnik in 2018. Vinnik will be hit with $12 million to pay, while BTC-e will have to pay more than $88 million. The network is after both parties for failing to register with them before operating. On top of this, they didn’t attempt to enter in any anti-money laundering policies or report any dangerous activity to the group.

Moreover, both Vinnik and the platform have reportedly been in trouble already back in 2016. Then, they were supposedly running an unlicenced online trading platform and attempting to participate in money laundering activities. In that same realm, BTC-e had apparently been used by tons of criminals when it came to money laundering, as they would convert their fiat into crypto to hide funds. On top of this, the platform allegedly participated in hacks, ransomware, identity theft, and many more illegal moneymaking schemes.

As of now, Vinnik is in prison in Greece. Now the United States is after him as well. There are supposedly emails he sent out that state he was head of the exchange and that he was even using it to participate in illegal activities himself. Interestingly, the publication reports that he also has ties to other problematic exchanges like Mt. Gox.

Overall, it comes as little surprise that U.S. prosecutors are after Vinnik if we’re looking at his past. Even if half of the reported claims are true, the man has a lot coming to him.