- Thirteen cryptocurrency ATMs and around $28 million in cash were taken from 35 different sites by German police.
German crypto and the summer have had a lot going on. After selling Bitcoin that had been seized, German officials came under fire for their unfavorable views of cryptocurrencies. August 20 busts show that German authorities are still stepping up their crackdown on cryptocurrency fraud.
German officials conducted a massive anti-money laundering operation on August 20, seizing about $28 million in cash and 13 cryptocurrency ATMs from 35 locations around the country, according to Reuters.
The financial watchdog BaFin, working with the police and the Bundesbank, conducted raids on machines that were operating without the required licenses, which posed a serious risk of money laundering.
Crypto ATMs are devices that let customers use cash or debit cards to buy or sell cryptocurrencies like Bitcoin. Though they are made especially for bitcoin transactions, they operate in a manner akin to conventional ATMs.
German approval for cryptocurrency-based ATMs
According to BaFin, the conversion of euros into cryptocurrencies or vice versa is a commercial activity that needs specific approval in accordance with Germany’s Banking Act.
Given the secrecy frequently associated with such transactions, the illegal operation of these ATMs prompted concerns about possible linkages to illicit activity, including money laundering and financing of terrorism.
Reiterating its dedication to preserving the integrity of the German financial system, the watchdog emphasized the significance of regulatory compliance in order to protect customers.
According to AML Intelligence, ATM operators may now be prosecuted and face fines of up to five years in prison.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
