Sweden Declares Crypto Exchanges Major Money Launderers

The Swedish Police Authority and the Financial Intelligence Unit (FIU) have labeled cryptocurrency exchanges as “professional money launderers (PML)” after evaluating services from unlicensed operators.

The FIU asserts that these PMLs are linked to criminal activities, enabling various individuals and networks to engage in systematic money laundering.

The FIU categorized PMLs into four profiles: node exchange providers, hawala exchange providers, asset exchange providers, and platform exchange providers. The report called for increased law enforcement involvement on crypto trading platforms to address illegal operations, highlighting that illicit cryptocurrency providers pose a rising threat in money laundering schemes.

While acknowledging the role of legitimate crypto platforms in combating money laundering, Swedish authorities urged these entities to be vigilant against suspicious trading activities and take necessary precautions, such as halting transactions.

READ MORE:

FBI Busts Duo Behind $250 Million Bitcoin Heist

Additionally, the Swedish Tax Agency has investigated 21 crypto-mining firms over the past three years, discovering inconsistencies in their tax filings. Eighteen firms were found to have submitted misleading information to avoid value-added tax.

The agency warned that this results in significant tax losses. Some companies are contesting a $90 million tax claim, with the court accepting appeals from two firms and adjusting the tax amounts accordingly.

Source

Alexander Stefanov