BTC-e was one of the most important crypto exchanges in the United States between 2011 and 2017. During this period, the company had one of its most profitable markets there with trading volumes of nearly $10 billion. But local authorities soon noticed that BTC-e’s 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, authorities arrested Google officials. But things did not go as planned.
Google had undermined a federal investigation into the crypto exchange
Google will improve its legal compliance program. The ad comes from a communicate from the US Department of Justice, available as of October 25. It comes after Google lost data related to the BTC-e crypto exchange a few years ago. This one, which covered criminal activities, was closed in 2017.
Indeed, the Department of Justice suspected illegal activity at the crypto service provider. In 2016, he asked Google to send him BTC-e data. But Google countered that with case law that limited this type of cooperation to data stored on US soil. The company added that because of some optimization algorithms that move data around the world, it cannot clearly determine what information should have been provided to authorities. A position that caused the Justice Department’s request to fail.
Unblocking the situation by Congress
This obstacle prompted Congress to pass the CLOUD Act. Actually, the text Wanted for all associated data to be submitted, regardless of where it is stored. Unfortunately, the crypto exchange data originally requested by the ministry had been lost. Google has assured that it is making efforts to avoid this type of incident in the future. In fact, the Justice Department statement reports that 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 timely and thorough responses to legal processes such as subpoenas and search warrants in the future.specifies note of the ministry.
BTC-e officials had made deals with criminal groups involved in various traffic. This, to launder money from their activities, through bitcoin (BTC) and the platform. US authorities quickly shut down the company’s operations. Last August, they announced extradition of the former director of the stock exchange, Alexander Vinnik, from Greece to the USA.
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No less than it dampened my enthusiasm, an unsuccessful investment in a cryptocurrency in 2017 only increased my enthusiasm. Therefore I decided to study and understand the blockchain and its many uses and transmit with my pen information about this ecosystem.