25-year-old US citizen Kunal Kalra pleaded guilty to the illegal exchange of $25 million through cash and cryptocurrencies. Basically, he "served" drug dealers and other criminals. Now he faces a life sentence.
For life: US authorities have closed an illegal crypto exchange for $25 million
The U.S. Department of Justice has stated that Kunal Kalra has admitted charges of creating and management of an illegal exchanger. Authorities say that from May 2015 to October 2017, he illegally exchanged $25 million, and his target audience were drug dealers and other criminals. Kunal conducted all operations through its bitcoin kiosk and bitcoin ATM.
According to the US authorities, Kalra knew that his business was illegal, but that did not stop him. Basically, he exchanged cash in US dollars for bitcoin. Of course, he took a commission for this. And to cover up the traces, the attacker created several fake bank accounts and businesses.
Authorities seized $889,000 in Kalra accounts and about 54.3 BTC (about $554,023 at current prices).
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- Under US law, Kalra may receive a life sentence for such crimes.
- The US White House claims that citizens most often buy drugs for cryptocurrency.
- But the authorities do not stand still and are struggling with drug trafficking and money laundering through cryptocurrencies. In San Diego, for example, a court sentenced Justin Gornik to 6 years in prison for selling drugs for cryptocurrency.
See also: "John McAfee: Bitcoin cannot lose!"