German Police Seize Millions in Crypto from eXch Service
German police have made a significant breakthrough in the fight against cybercrime by seizing tens of millions of euros and server infrastructure linked to the infamous crypto-swapping service known as eXch.
Record-Breaking Seizure
The Federal Criminal Police Office (BKA) announced that they confiscated €34 million ($38 million) worth of Bitcoin, Ether, Litecoin, and Dash, making it the third-largest seizure in the agency’s history. eXch, a platform available on both the surface and dark web, allowed users to exchange various cryptocurrencies, making it a popular choice among cybercriminals and money launderers seeking anonymity.
It is estimated that around $1.9 billion in crypto assets were laundered through eXch since its inception in 2014, including funds stolen in the world’s largest crypto heist perpetrated by North Korea against Bybit.
Collaborative Effort
The BKA collaborated with the Frankfurt am Main Public Prosecutor’s Office to carry out the seizure on April 30, just before eXch’s operators announced the closure of the service on May 1. In addition to the cryptocurrency haul, authorities also seized 8TB of data from the platform’s servers.
BKA Director Carsten Meywirth emphasized the significance of the operation, stating, “Once again, we have secured a record-breaking sum of millions in incriminated cryptocurrencies and shut down a digital money laundering platform. This demonstrates the industrial scale of cybercrimes, and we remain committed to holding those responsible accountable.”
Continued Monitoring
Despite claims that eXch is now offline, a recent blog post from TRM Labs suggested that the platform was still operational as of May 2, providing API access to business partners and engaging in on-chain activities consistent with money laundering behavior.
TRM Labs identified eXch as a non-cooperative entity that refused to assist Bybit in recovering stolen funds, making it a key destination for illicit funds, including those linked to child sexual abuse materials (CSAM).
The takedown of eXch marks a significant victory in the ongoing battle against criminal crypto services, highlighting the importance of international cooperation in combating digital financial crimes.