In a significant development, Spain’s authorities have arrested Alejandro Cao de Benos, a key figure linked to a North Korean cryptocurrency conspiracy. The arrest occurred at Madrid’s Atocha train station as Cao de Benos arrived from Barcelona.

Spanish Arrest Sheds Light on Crypto Fraud

Cao de Benos, founder of a pro-Pyongyang group, is accused of collaborating with American cryptocurrency researcher Virgil Griffith. Griffith was previously convicted and sentenced in the United States for his role in aiding North Korea to evade U.S. sanctions using cryptocurrency. Spanish police apprehended Cao de Benos, who was using a false identity, as part of a broader effort to combat illicit cryptocurrency activities.

In 2022, Griffith received a prison sentence of over five years for his involvement in this scheme. This case highlights the growing concern over using digital currencies in international sanction evasion and illegal activities.

North Korean hackers have been implicated in numerous high-profile cryptocurrency thefts, amassing significant amounts through illegal means. These activities include money laundering and financing nuclear programs, challenging global financial security and stability. In 2022 alone, North Korea’s primary source of foreign currency income was identified as cryptocurrency theft, amounting to $1.65 billion.

This international issue has prompted a coordinated response. The U.S. and its allies have intensified efforts to identify and dismantle North Korean cryptocurrency hacking groups. They have imposed sanctions on rogue cryptocurrency exchanges and seized illegally obtained funds. The recent actions by Spanish authorities against Cao de Benos are part of this global initiative.

Spain’s Key Role in Fighting Crypto Fraud

Following his arrest, Cao de Benos appeared before a High Court judge and was released pending extradition. He has publicly denied the allegations against him, claiming them false. The legal representatives of Cao de Benos, potentially facing a 20-year prison term if convicted, remain unidentified.

The case also sheds light on the broader challenges posed by the illicit use of cryptocurrency, particularly by state actors like North Korea. These developments underscore the need for robust international cooperation and regulatory frameworks to address the risks associated with digital currencies.

The arrest of Alejandro Cao de Benos by Spanish authorities marks a significant step in the ongoing battle against the misuse of cryptocurrencies in international crimes. As the situation unfolds, the focus remains on reinforcing global efforts to ensure digital currencies’ responsible and legal use.

Read Also: Buy MicroStrategy Stock With Bitcoin, Blockstream CEO Adam Back Says

The post Spain Cracks Down on North Korean Cryptocurrency Conspiracy appeared first on CoinGape.

---

Filed under: News - @ December 2, 2023 7:11 pm