US Government Seizes 54 Million Dollars Worth of Cryptocurrency, Ethereum Among Assets, Linked to Drug-Related Scheme

Crypto News– A recent legal filing has brought to light the U.S. Attorney’s Office’s efforts to recover more than $54 million in cryptocurrency associated with an illegal narcotics distribution scheme. This cryptocurrency, which includes approximately 30,000 Ethereum (ETH) valued at around $53.5 million, had been previously seized and is linked to criminal activities. This action underscores the authorities’ commitment to pursuing gains acquired through illicit means, even within the realm of cryptocurrency.

US Government Seizes 54 Million Dollars Worth of Cryptocurrency, Ethereum Among Assets, Linked to Drug-Related Scheme

The U.S. Attorney’s Office, led by Philip R. Sellinger, has initiated a civil forfeiture action to reclaim cryptocurrency assets exceeding $54 million, all of which are tied to illegal narcotics distribution activities on the darknet, primarily in New Jersey. Sellinger emphasized that they would go to great lengths to confiscate any financial proceeds resulting from criminal endeavors, whether they involve physical cash or cryptocurrencies. This move serves as a clear warning to those who believe that cryptocurrency transactions can shield their unlawful activities from law enforcement.

The illicit scheme involved Christopher Castelluzzo and his associates, who conspired to engage in narcotics trafficking between 2010 and 2015. Significantly, they expanded their operations to the darknet around 2013, where they accepted Bitcoin as payment for their illegal products.