TRM Labs

Welcome back to The Weekly Roundup! Another Thursday, another whirlwind week in crypto policy, regulation, and enforcement 🚀 Here are the top stories our policy pros — Ari Redbord, Angela Ang, and Isabella Chase — are keeping their eyes on: 🇺🇸 President Trump issues crypto EO 🇪🇸 Spain’s Guardia Civil, in coordination with T3, disrupts criminal enterprise 🗽 NYDFS issues warning in wake of $TRUMP memecoin launch 👩⚖️ Kucoin pleads guilty to unlicensed money-transmitting charge and agrees to pay $300 million fine for AML violations 🏦 Newly minted DOGE to consider using blockchains to track government spending 🇪🇺 Crypto.com to delist non-MiCA compliant stablecoins Click in below 👇

The Massachusetts Attorney General's Office (Mass. AG) serves as a powerful advocate and resource for the residents of Massachusetts, handling a wide range of issues — from consumer protection and fraud prevention to environmental and civil rights enforcement. Within its Public Protection and Advocacy Bureau, the Insurance and Financial Services Division specializes in shielding residents from unfair or deceptive practices, including those in the increasingly prevalent #cryptocurrency space. In our latest case study, learn how Mass. AG leveraged TRM Labs to investigate and provide restitution for victims of the SpireBit investment fraud ring — a case that highlights the power of #blockchainintelligence in bringing justice to fraud victims. ✅ USD 217,000 in restitution provided to four SpireBit victims ✅ USD 141,000 recovered for Aleksey, a victim of a sophisticated crypto scam ✅ Successful takedown of the SpireBit website Learn more about the incredible work Mass. AG is doing to restore justice to victims, and the role blockchain intelligence plays in their efforts to track down illicit activity, recover funds, and protect constituents. See the full story 👉 https://hubs.la/Q034J9D80

🚨 Esta semana, la Guardia Civil de España, en colaboración con Europol y la T3 Financial Crime Unit (T3 FCU), una iniciativa conjunta de TRON, Tether y TRM Labs, anunció el exitoso desmantelamiento de una sofisticada red internacional de blanqueo de capitales. Liderada por dos hermanos ucranianos, la red facilitaba la conversión de efectivo en criptomonedas para blanquear ganancias ilícitas de grupos criminales involucrados en el tráfico de drogas, evasión fiscal y contrabando. La operación coordinada abarcó varias provincias españolas y ubicaciones internacionales, resultando en 23 detenciones (20 en España, una en Francia y dos en Eslovenia) y 91 registros domiciliarios. Las autoridades incautaron 8,2 millones de euros en efectivo, 27 millones de euros en criptomonedas, 2 millones de euros en cuentas bancarias congeladas y una variedad de bienes de lujo, incluidos 36 vehículos, bienes inmuebles y dispositivos electrónicos. La investigación de la Guardia Civil reveló que la organización explotó inicialmente el estatus de protección temporal de la UE para refugiados ucranianos para transportar grandes sumas de dinero en efectivo a través de diferentes jurisdicciones. Cuando las fuerzas del orden comenzaron a perseguir a estos transportistas de dinero, la red criminal cambió a las criptomonedas para ocultar sus actividades y mantener sus operaciones. Entre marzo de 2023 y febrero de 2024, la red blanqueó aproximadamente 75 millones de euros. Utilizando inteligencia blockchain, la Guardia Civil logró identificar y rastrear la red criminal. Los datos KYC obtenidos mediante citaciones judiciales de Proveedores de Servicios de Activos Virtuales (VASP) y comunicaciones interceptadas confirmaron los vínculos entre las direcciones de blockchain y las actividades ilícitas. Los investigadores utilizaron inteligencia blockchain para identificar monederos intermediarios y congelar 25,5 millones de dólares en USDT. Desde su lanzamiento en agosto de 2024, la T3 FCU ha apoyado la incautación de más de 131 millones de dólares en activos ilícitos, demostrando el poder de las asociaciones público-privadas para desmantelar redes criminales sofisticadas y proteger el ecosistema global de activos digitales. Para más información, lea el análisis detallado de TRM sobre la investigación aquí 👉 https://bit.ly/40TnXPp

On our newest episode of #TRMTalks, Ari Redbord chats with Caroline Hill, Senior Director of Global Policy at Circle, about stablecoin regulation and building with compliance at the core 🚀✨. Tune in to hear Caroline explain how her time at the U.S. Department of the Treasury influences her approach to navigating the complex world of crypto policy. 🎧 Listen to the full episode now: https://lnkd.in/ezRSjyEJ #Blockchain #CryptoCompliance

🚨 This week, Spain’s Guardia Civil, in collaboration with Europol and the T3 Financial Crime Unit (T3 FCU) — a joint initiative from TRON, Tether, and TRM Labs — announced the successful dismantling of a sophisticated international money laundering network. Led by two Ukrainian brothers, the network facilitated cash-to-cryptocurrency conversions to launder illicit proceeds for criminal groups involved in drug trafficking, tax evasion, and smuggling. The coordinated operation spanned multiple Spanish provinces and international locations, resulting in 23 arrests (20 in Spain, one in France, and two in Slovenia) and 91 house searches. Authorities seized EUR 8.2 million in cash, EUR 27 million in cryptocurrency, EUR 2 million in frozen bank accounts, and an array of luxury assets, including 36 vehicles, real estate, and electronic devices. The Guardia Civil’s investigation revealed that the organization initially exploited the EU’s temporary protection status for Ukrainian refugees to transport large sums of cash across jurisdictions. When law enforcement began targeting these couriers, the network shifted to cryptocurrency to obscure its activities and maintain operations. Between March 2023 and February 2024, the network laundered an estimated EUR 75 million. Using blockchain intelligence, the Guardia Civil was able to identify and track the criminal network. Subpoenaed KYC data from Virtual Asset Service Providers (VASPs) and intercepted communications solidified the links between blockchain addresses and criminal activities. Investigators used #blockchainintelligence to identify intermediary wallets and freeze USD 25.5 million-worth of USDT. Since its launch in August 2024, T3 FCU has supported the seizure of over USD 131 million in illicit assets, showcasing the power of public-private partnerships in disrupting sophisticated criminal enterprises and securing the global digital asset ecosystem. For more, read TRM’s deep dive into the investigation here 👉 https://bit.ly/40TnXPp

🇪🇺 It’s been a busy couple of weeks for crypto regulation in the European Union, with significant regulatory developments in their crypto landscape. Last week, the European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) released their much-anticipated joint report on "Recent Developments in Crypto Assets." While the report does not include formal recommendations, it provides an analytical overview of key areas initially outside the scope of the Markets in Crypto Assets Regulation (MiCA), including decentralized finance (DeFi), lending, borrowing, and staking. Key takeaways from the report include: ➡️ DeFi: The ecosystem remains niche, with just over 7 million users in Europe and limited institutional involvement. However, financial crime risks persist, particularly from hacks and the absence of anti-financial crime controls. ➡️ Lending and borrowing: The report differentiates between centralized and decentralized models. It notes that centralized lending services tend to be over-collateralized and vulnerable to market failures, while DeFi lending remains highly concentrated. ➡️ Financial crime risks: Across lending, borrowing, and staking, the report highlights that money laundering and terrorist financing risks remain present and largely “unmanaged.” Recently, ESMA published additional guidance regarding the provision of certain crypto asset services related to non-MiCA-compliant Asset-Referenced Tokens (ARTs) and E-Money Tokens (EMTs). Notably, national competent authorities (NCAs) now have until the end of Q1 2025 to ensure that crypto asset service providers (CASPs) cease offering non-compliant ARTs and EMTs for trading.

The evolving landscape of #crypto crime in 2024 highlights a complex interplay between advancing security measures and increasingly adaptive illicit actors. While efforts to curb illegal activities have shown promising results (including a 24% drop in illicit volume since 2023 📉), threat actors continue to innovate — exploiting vulnerabilities within #DeFi, #blockchain infrastructure, and emerging technologies. Swipe for a few highlights from our upcoming ✨2024 Crypto Crime report✨ — which examines how the illicit crypto economy has changed over the last year — then scan the QR code (or click the link in the comments 👇) for the full analysis from our blockchain intelligence experts.

🎙️ On our next #TRMTalks (coming Wednesday), Ari Redbord sits down with Caroline Hill from Circle to explore #stablecoin regulation and building with #compliance at the core. Hear how her U.S. Department of the Treasury experience shapes her take on #cryptopolicy. Be sure to follow TRM Talks on Spotify to be the first to tune in: ➡️ https://lnkd.in/e2gE7ydn

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We are hiring! Join our mission and build a safer financial system at TRM!