Brazilian Police Bust Massive Cocaine Trafficking Operation Using Crypto

Brazilian authorities have dismantled a massive cocaine trafficking and money laundering operation that used crypto-enabled brokers to launder proceeds. Operation Commodity, launched on July 23, is one of the largest crypto-linked criminal takedowns in Latin American history.

The network shipped approximately 6.5 metric tons of cocaine to countries including France, Belgium, Germany, Slovenia, and Spain since 2021. The laundered proceeds were funneled through 'criptodoleiros,' illicit crypto brokers operating in the shadows of the digital asset ecosystem.

Courts ordered asset freezes and seizures totaling up to R$1 billion, roughly $196 million. This haul included luxury goods, real estate, and assets of front companies used to obscure the money trail.

The operation is part of the broader Missão Redentor II initiative targeting organized crime syndicates. Just weeks earlier, the Federal Police launched Operation Exchange, a separate crackdown on a $2 billion cryptocurrency laundering operation linked to PCC.