Corbin Keegan, a U.S. national who self-proclaimed himself as the first citizen of Bitcoin City, has temporarily left El Salvador after waiting over two years for the state to build the settlement. President Nayib Bukele first announced this infrastructure proposal for Bitcoin City in November 2021. He also explained that the settlement would be constructed […]
Bitcoin News
US Lawmakers: Jailed Binance Executive, US Citizen, Wrongfully Detained by Nigeria
A group of U.S. lawmakers led by Micheal McCaul, the House Foreign Affairs Committee chairman, has accused the Nigerian government of wrongfully detaining Tigran Gambaryan. The lawmakers have asked the Biden Administration to transfer Gambaryan’s case to the Office of Special Presidential Envoy for Hostage of Affairs. Nigeria Using Gambaryan’s Detention to ‘Extort His Employer’ […]
Bitcoin News
Indian Citizen Faces 20 Years in US Prison for Stealing Crypto in $37M Coinbase Spoofing Scam
An Indian national has pleaded guilty in the U.S. to wire fraud conspiracy for stealing over million by spoofing crypto exchange Coinbase’s website. He and his co-conspirators created a fake Coinbase Pro site to steal login credentials and two-factor authentication codes, transferring victims’ cryptocurrency to their own wallets. Guilty Plea in M Coinbase Crypto […]
Bitcoin News
FBI Busts Indian Citizen Group For $15 Million Crypto-To-Cash Money Laundering Scheme
In a recent crypto investigation, the US FBI successfully infiltrated a group of Indian citizens suspected of engaging in illicit activities involving the exchange of cryptocurrency for over million in cash.
The alleged transactions took place at various locations in Westchester County, with the group catering to customers seeking anonymity for their activities.
Crypto Crime Unveiled
According to recent reports, five out of the six suspects were apprehended on October 17 and subsequently charged in US District Court, White Plains.
The charges primarily revolve around operating an unlicensed money-transmitting business. The investigation unfolded with the assistance of law enforcement agents who monitored 80 “cash hand-offs”.
The FBI’s scrutiny began in April 2021 when they identified a suspect operating within the “dark web” criminal marketplaces.
Although the individual remains unnamed in the criminal complaint, they are believed to be a co-conspirator of the arrested local suspects. Notably, the suspect offered to ship cash to customers in exchange for cryptocurrency.
According to the complaint, the unidentified co-conspirator disclosed to an undercover officer in January that some of their customers were involved in drug sales, while their wealthier clients were hackers.
The co-conspirator claimed to have amassed approximately million over three years by exchanging cash for cryptocurrency.
In February, an individual responsible for mailing packages of cash on behalf of the co-conspirator was arrested. The complaint reveals that this individual had been receiving sacks of cash from various individuals, three times a week for 18 months, at a Westchester County post office. The cash bundles ranged from 0,000 to 0,000.
In a bid to receive leniency during sentencing, the aforementioned individual agreed to assist the FBI with their investigation. Over several months (from February 10 to September 27), they allegedly participated in 80 controlled cash pick-ups amounting to ,067,000.
One of the arrested individuals, Raju “Jay” Patel from Flushing Queens, played a significant role in the operation. The complaint alleges his involvement in 58 cash transfers totaling .8 million.
Raju would collect cash from various locations in George, Massachusetts, North Carolina, Pennsylvania, and South Carolina. Subsequently, Raju allegedly coordinated the transfers with the co-conspirator and the FBI’s confidential source.
On March 6, Raju allegedly arranged an exchange of 0,000 at a Tarrytown supermarket parking lot. Surveillance conducted by law enforcement agents captured Raju leaving his Queens apartment with an orange cloth bag, which he handed over to the FBI’s confidential source upon arrival in Tarrytown. The bag reportedly contained 9,715.
Illicit Cash Exchange
Similar exchanges took place at a parking lot in Port Chester, further implicating the suspects involved. On August 6, Shaileshkumar Goyani allegedly handed over a bag containing 4,000 to the FBI’s confidential source.
Apart from Goyani, the complaint identifies Brijeshkumar “Samir” Patel, Hirenkkumar Patel, Naineshkumar Patel, and Nileshkumar Patel as additional suspects in the case.
All the suspects are charged with operating an unlicensed money-transmitting business under New York and federal laws.
According to an affidavit by FBI agent Lawrence Lonergan, such unlicensed money-transmitting businesses operate as shadow banks, enabling funds to pass through without undergoing the scrutiny imposed by Congress on the United States financial system.
While the allegations against Goyani’s crypto fraud remain unproven, his defense attorney, Daniel A. Hochheiser, emphasizes that his client has not been indicted by a grand jury. Hochheiser further stated that if and when an indictment is issued, Goyani intends to enter a plea of not guilty.
Featured image from Shutterstock, chart from TradingView.com
US Second in World by Debt per Citizen, Rare Bitcoin Block Reward Awakens, BRICS Summit Invites — Week in Review
A recent study has shown that Singapore, the U.S., and Japan rank highest in the world by debt per citizen, according to United Nations data. In other news, a rare 2010 Bitcoin block reward has awakened after 13 years of dormancy, and the BRICS economic bloc has invited 69 leaders to its August summit. This and much more, just below, in the Bitcoin.com News Week in Review.
Singapore, US With Highest Public Debt per Capita, China Most Indebted in BRICS: Study
Singapore, the United States and Japan top the global chart in terms of sovereign debt per capita, according to research based on U.N. data. The burden of government debt for every American is 10 times heavier than that for a Chinese citizen, according to the study.
Rare 2010 Bitcoin Block Reward Stirs After 13 Years of Dormancy
On July 24, 2023, a block reward from 2010 was transferred for the first time in 13 years, marking this month’s first expenditure of dormant bitcoin from that year. So far this year, a total of nine such block rewards from the 2010 era have been spent, resulting in the transfer of 450 bitcoins.
BRICS Invites 69 Leaders to August Summit — Western Countries Omitted
The BRICS economic bloc has invited 69 leaders to its upcoming summit, including all African heads of state and the political heads of major Global South bodies. More than 40 countries have expressed interest to join the BRICS group, with 22 nations already having submitted official applications. “We’ve never had such a large outreach,” said South Africa’s diplomat in charge of BRICS relations.
Decoding Ripple’s Ruling: A Potential Tsunami for the SEC
In a groundbreaking decision earlier this month, the Southern District Court of New York determined that institutional sales of XRP conducted directly by Ripple constitute securities sales. However, intriguingly, XRP sales on secondary markets, specifically crypto exchanges, do not. A verdict that has sparked a ripple, pun intended, in the crypto space, potentially creating waves of disarray for the U.S. Securities and Exchange Commission (SEC).
What are your thoughts on this week’s stories? Be sure to let us know in the comments section below.
Pheu Thai Candidate Promises Digital Currency Airdrop of $300 to Every Citizen in Thailand if Elected
A Pheu Thai candidate running for prime minister of Thailand position, Srettha Thavisin, has promised that every citizen in the country will receive 10,000 Thai baht (0) in digital currency if he wins the general election in May. However, a minister within the prime minister’s office in Thailand is concerned and has explained that the proposed airdrop could pose major challenges with specific implications.
Thailand Prime Minister Candidate’s 0 Airdrop Promise Raises Concerns
On Wednesday, Srettha Thavisin, a Pheu Thai candidate for prime minister of Thailand, declared that if his party wins the general election, the government will airdrop 10,000 baht in digital currency to every citizen in the country who is 16 years old or older. The Bangkok Post was the first to report on the story after it was revealed by the Pheu Thai chief adviser, Paetongtarn Shinawatra, on Wednesday.
Thailand wouldn’t be the only government to airdrop digital currency to its citizens, as the government in El Salvador airdropped worth of bitcoin (BTC) to citizens who were Chivo wallet users. According to the Bangkok Post report, the Pheu Thai party’s initiative is aimed at attracting crypto assets and blockchain innovation to Thailand. However, the free money must be spent within a “4-kilometer community radius within six months” of the project’s first phase, as stated by Bangkok Post reporter Supoj Wancharoen.
Thanakorn Wangboonkongchana, a minister in the prime minister’s office, is concerned about the proposed airdrop and wants “more details.” He also noted that “creating a digital currency would be a major challenge with implications for Thailand’s entire financial system,” according to the Bangkok Post report. Wancharoen also shared an opinion from Preeyaphat Raksasana, a second-year university student, who questioned where the funds for the airdrop would come from.
“The policy is disgusting,” Raksasana said. “Do they really think most people are that foolish?”
Since the Covid-19 pandemic, “helicopter money” or one-time direct stimulus payments to citizens has become a norm in several countries. A number of politicians across the world have proposed giving stimulus airdrops to citizens, and some have even supported schemes like universal basic income (UBI). In June 2023, Thailand’s government created a stimulus package worth 140 billion baht (.5 billion), with a good portion of the funds being allocated for one-time direct stimulus payments.
What are your thoughts on the use of airdropped digital currencies as a form of economic stimulus, and do you believe it could have positive or negative implications for Thailand’s financial system? Share your thoughts in the comments section below.
Bitcoin, Ethereum Technical Analysis: BTC Consolidates Near $28,000, as First Citizen Agrees to Acquire Silicon Valley Bank
Bitcoin started the week trading around the ,000 mark, as markets reacted to the news that Silicon Valley Bank was to be acquired. First Citizen Bank agreed to buy approximately billion in SVB assets, at a discounted rate of .5 billion. Ethereum continued to trade under ,800 on Monday.
Bitcoin
Bitcoin (BTC) started the week trading marginally higher, with prices hovering near the ,000 level.
Following a bottom at ,678.15 on Sunday, BTC/USD moved to a high of ,178.14 earlier in today’s session.
The move saw bitcoin edge towards a recent resistance point at the ,300 mark, which was last hit on Friday.
Overall, BTC has mostly consolidated on Monday, which comes as the 14-day relative strength index (RSI) collided with a ceiling at the 65.00 zone.
As of writing, the index is tracking at the 64.51 level, with the next visible point of support at the 62.00 mark.
Should bulls take price strength below this point, there is a strong possibility that BTC could move below ,000.
Ethereum
Ethereum (ETH) largely consolidated on Monday, as prices moved away from a key price floor in today’s session.
ETH/USD jumped to a peak of ,797.88 earlier in the day, which comes less than 24 hours after falling to a low of ,748.44.
Since hitting a seven-month high of ,861 last Thursday, the world’s second largest cryptocurrency has mostly traded below ,800.
Overall, ethereum is down 1.19% from the same point last week, with prices mostly moving between a floor of ,730, and a ceiling at ,820.
The 10-day (red) moving average has now begun to shift direction, with upwards momentum now fading.
Prices may continue to trend sideways heading into April, unless some unexpected news moves markets.
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Do you expect ethereum to finish the month below ,800? Leave your thoughts in the comments below.
American Citizen Arrested For Educating North Korea On Blockchain And Crypto
n A U.S. citizen who traveled to North Korea to deliver a presentation on how to use blockchain and crypto to avoid sanctions was arrested at LAXn
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Israeli Citizen Accused of Stealing Over $1.7 Million in Crypto
n A Tel Aviv resident stands accused by Israeli State Attorneys Office of stealing cryptocurrencies through a number of malware websitesn
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IBM, Global Citizen Seek Blockchain Ideas to Transform Humanitarian Aid
IBM and Global Citizen are issuing a challenge to the world’s developers: use blockchain to revolutionize donations to humanitarian causes.