German Authorities Shut Down eXch Cryptocurrency Platform, Seize €34 Million in Assets

On April 30, German law enforcement authorities shut down the cryptocurrency exchange platform eXch and seized assets worth €34 million.

The servers of this service, which had been operational since 2014, were located in Germany. Users could anonymously exchange Bitcoin, Ethereum, Litecoin, and Dash without undergoing identity verification. This feature contributed to eXch’s reputation as a popular tool for laundering funds, according to the Frankfurt Public Prosecutor’s Office and the Federal Criminal Police Office of Germany (BKA).

Investigations revealed that around $1.9 billion had passed through eXch, which included a portion of $1.5 billion stolen during a hack of the Bybit exchange. The platform marketed itself on darknet forums, emphasizing its lack of KYC checks and did not store user data.

The operation took place a day before the planned shutdown by the eXch owners. With support from the Dutch Fiscal Information and Investigation Service, authorities seized 8 terabytes of data along with cryptocurrencies. This marks the third-largest confiscation in the BKA’s history.

«eXch is a crucial component of the underground economy. Anonymous exchanges assist criminals in laundering revenues from hacking activities or trading stolen data,» stated Senior Prosecutor Benjamin Krause.

Carsten Maywirt, head of the BKA’s cybercrime department, noted that the platform operated “on an industrial scale.”

Additionally, on May 1, FinCEN proposed to disconnect the Cambodian platform Huione Group from the American financial system, accusing the company of laundering $4 billion.