Japanese authorities detain crypto criminals who laundered money

For the first time, Japanese law enforcement successfully tracked and analyzed XMR transactions, leading to the arrest of 18 fraud suspects.

This event marks an important step for the country in the fight against cryptocurrency crimes, particularly money laundering.

Fraud scheme

26-year-old Yuta Kobayashi believed to be the leader of the criminal group, was charged with money laundering through the cryptocurrency Monero and fraud using stolen credit card data.

Kobayashi, along with other group members, used stolen personal data for illegal financial operations.

Their activities included selling counterfeit goods on the marketplace "Mercari." In the summer of 2021, the group carried out 42 fraudulent operations, resulting in the theft of more than 2.75 million yen, equivalent to approximately $18,400.

Money laundering

One of the criminals' key methods was laundering money through XMR, known for its enhanced privacy features. In June and July 2021, the group conducted around 900 transactions totaling approximately 100 million yen (around $670,000).

Recruitment online

Law enforcement believes credit card data was likely stolen through phishing attacks via fake websites and emails.

It was also revealed that the criminals used anonymous communication apps and recruited new members through illegal ads on social media platforms.