BTC-e was one of the most important cryptocurrency exchanges in the US between 2011 and 2017. During this period, the company had one of its most profitable markets out there with a turnover of nearly $10 billion. But local authorities soon noticed that the BTC-e activity was not entirely legal. According to the Department of Justice, its leaders allowed users (many of whom were criminals) to trade bitcoin (BTC) anonymously and launder money. To shed light on the case, the authorities arrested Google officials. But things did not go as planned.
Google undermines a federal investigation into a cryptocurrency exchange
Google will improve its legal compliance program. The ad comes from a communication From the US Department of Justice, available since October 25. This comes after Google lost data on the BTC-e crypto exchange a few years ago. This, which covered criminal activities, closed in 2017.
In fact, the Department of Justice suspected illegal activity at the crypto service provider. In 2016, he asked Google to hand over data about BTC-e to him. But Google has argued against it with case law limiting this kind of cooperation to data stored on US soil. The company added that due to some optimization algorithms that funnel data around the world, it was unable to clearly identify the information required to provide to authorities. A situation that caused the request of the Ministry of Justice to fail.
Congress dismantled the situation
This setback prompted Congress to pass the CLOUD Act. Actually, the text wanted That all relevant data is delivered, regardless of where it is stored. Unfortunately, the cryptocurrency exchange data, which the ministry had initially sought, was lost. Google has confirmed that it is making efforts to avoid this type of incident in the future. In fact, the DOJ statement said the company has already invested more than $90 million in additional resources and personnel to adapt its compliance program to the new requirements.
“The tech giant will ensure full and timely responses to legal processes such as subpoenas and search warrants, going forward.”Identifies note Ministry.
BTC-e officials made deals with criminal groups involved in various smuggling operations. That is, to launder money from their activities, through bitcoin (BTC) and the platform. The company’s operations were soon shut down by US authorities. They announced this past August extradition Ex-Director of the Stock Exchange, Alexander Finnik, from Greece to the United States.
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Far from dampening my enthusiasm, an unsuccessful investment in cryptocurrency in 2017 only fueled my enthusiasm. So I decided to study and understand the blockchain and its many uses and pass on my pen information related to this ecosystem.