Crypto Laundering Evolves: Stablecoins and Corporate Structures Emerge as Key Players
The UK's National Crime Agency has been tracking a shift in crypto laundering routes across exchanges and borders. According to their assessment, criminal finance is becoming increasingly networked, outsourced, and technically flexible.
Crypto laundering operators are now using stablecoins, mixers, and cross-chain transfers to facilitate illicit transactions. This shift is linked to the disruption of British and American activity towards Russia-aligned platforms after authorities sanctioned exchanges like Garantex and Grinex.
The use of stablecoins has become particularly prominent in crypto laundering, as they provide a liquid asset with less price movement than Bitcoin or Ether. However, this also creates an additional enforcement point for issuers, who can freeze identified wallets. As seen in the case of USDT freezes, intervention can trigger another shift towards tokens without freeze controls.
The National Crime Agency notes that corporate structures are also being exploited to facilitate crypto laundering, with companies used as conduits for cash and property transactions. The use of shell structures allows criminals to conceal their involvement and makes it more difficult for authorities to track the flow of funds.