German authorities have confiscated $37.4 million in cryptocurrency and hardware from the now-defunct eXch exchange. Prosecutors allege that eXch enabled money laundering connected to major crypto hacks, including the $1.4 billion Bybit hack linked to North Korea's Lazarus Group. The Bundeskriminalamt (BKA) stated that eXch processed transactions without adequate anti-money laundering controls, drawing criminal activity. The exchange operated without the proper licenses and was known for its lack of Know Your Customer (KYC) requirements. Following its shutdown on May 1, due to growing scrutiny over its dealings, the platform was accused of laundering substantial amounts from various thefts. Analysts report that eXch facilitated the movement of tens of millions in stolen assets even after requests to block specific addresses implicated in the hacks. Authorities suggest that the platform was a significant player in the underground economy, enabling the laundering of proceeds from illegal activities. This seizure comes as Germany prepares for discussions about North Korea's cybercrime activities at the upcoming G7 summit.

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