IRS sends undercover brokers to show criminals within the Crypto market – Cryptonews

Source: AdobeStock / sergign

The US Internal Revenue Service (IRS) goes to great lengths to track down criminals who use cryptocurrencies to sell drugs on the darknet and uses an undercover agent to break into the peer-to-peer (P2P) marketplace LocalCryptos.com to work.

The platform presents itself as a P2P Bitcoin (BTC) and Ethereum (ETH) marketplace with more than 100,000 users in 130 countries around the world who use their services to buy and sell crypto. It traded under the name LocalEthereum until 2019 before being renamed to add more cryptocurrencies to its portfolio.

Assuming the identity of Mr. Coins, the undercover agent has built a great reputation on the site, collecting 100% positive reviews on its profile while collecting crypto worth up to $ 200,000 in around 50 transactions.

One of the IRS agent’s greatest achievements was bringing down a suspected dark web drug trafficker by tricking him into sending more than $ 180,000 in cash in exchange for crypto, according to a search warrant received from Forbes.

In June 2020, Mr. Coins published an online ad offering to buy bitcoins for cash by mail above market prices and encouraging potential sellers to contact him via encrypted apps like Wickr or WhatsApp. Soon a person named Lucifallen21 contacted the undercover agent to inquire about the offer. The IRS has identified the prospective seller as a resident of Evansville, Indiana and has proceeded to negotiate the deal.

By July 2020, Lucifallen21 agreed to buy 1.59 BTC from Mr. Coins, wrap about $ 15,040 in cash in clothes, and send it to the undercover agent in a box according to the legal documents available. The man’s news suggested he was involved in dark web drug sales and alleged that he was trading in cocaine, marijuana, and “pills and opioids.”

The man had bought more cryptocurrencies from Mr. Coins before the secret agent finally agreed to sell the drug dealer $ 79,000 worth of cryptocurrency for $ 54,000 in cash. When the package reached the IRS agent, forensic experts took Lucifallen21’s fingerprints and linked them to the Evansville resident based on the existing records.

Lucifallen21 has been arrested and charged by the IRS in the Eastern District of New York. The alleged drug dealer has not yet made a plea.

____

Learn more:
– Australian Police Do Record Crypto Seizure Using Dark Web Drug Bust
– DOJ “overlooked” USD 500,000 in Forked Crypto in Bitcoin Bust

– South Korea Develops Solution Chasing Dark Web Crypto Deals
Largest Darknet Market Reported to Leave $ 30M in Cryptocurrencies – Report

– Darknet is turning to bitcoin mixers as exchanges tighten
– A light side of the dark web


Share post on

Sonic BTC is reader-supported. When you buy through links on our site, we may earn an affiliate commission.

Monero, Stellar, AAVE Value Evaluation: August twenty second – AMBCrypto Information Stellar

Monero, Stellar, AAVE Value Evaluation: August twenty second – AMBCrypto Information

Major cryptocurrencies have shown mixed trading so far, with Bitcoin reversing its losses by...

By wpadminsonic164
Stellar

Bitwise Pronounces Crypto Index Reconstitution Outcomes at Month Finish in August 2021 – Enterprise Wire

SAN FRANCISCO - (BUSINESS WIRE) - Bitwise Index Services, the indexing subsidiary of Bitwise...

By wpadminsonic164
Coinbase clients mad at response to hacked accounts and stolen funds – Yahoo Finance Stellar

Coinbase clients mad at response to hacked accounts and stolen funds – Yahoo Finance

Pavlo Gonchar / SOPA ImagesCoinbase customers have a lot to say about the largest...

By wpadminsonic164
Finest Penny Cryptos To Make investments In (2021) – FXStreet Stellar

Finest Penny Cryptos To Make investments In (2021) – FXStreet

Penny cryptos are altcoins that have huge benefits but also higher risks. In contrast...

By wpadminsonic164
Stellar Value Evaluation: XLM Crypto Value Might See Huge Breakthrough Quickly In The Future – Cryptocurrency Information – The Market Periodical Stellar

Stellar Value Evaluation: XLM Crypto Value Might See Huge Breakthrough Quickly In The Future – Cryptocurrency Information – The Market Periodical

The XLM crypto price is currently seeing consolidated momentum but may soon hit a...

By wpadminsonic164
Foil Community: What You Want To Know About New Era Blockchain – Yahoo Finance Stellar

Foil Community: What You Want To Know About New Era Blockchain – Yahoo Finance

Investing in the market can be quite complex, especially if you want to add...

By wpadminsonic164
That is why Dogecoin and Shiba Inu are not what they was – AMBCrypto Information Stellar

That is why Dogecoin and Shiba Inu are not what they was – AMBCrypto Information

With the market currently busy tracking the price movements of Bitcoin and Ethereum, some...

By wpadminsonic164
Hut 8 Attends BMO’s 2021 Know-how Summit, Crypto Mining Panel, on Aug 24, 2021 – Yahoo Finance Stellar

Hut 8 Attends BMO’s 2021 Know-how Summit, Crypto Mining Panel, on Aug 24, 2021 – Yahoo Finance

TORONTO, August 24, 2021 / CNW / - Hut 8 Mining Corp. (Nasdaq: HUT)...

By wpadminsonic164

Latest Posts

Binance allegedly seeks authorities funding underneath regulatory strain, focusing on $ 200 billion valuation – Yahoo Finance Binance

Binance allegedly seeks authorities funding underneath regulatory strain, focusing on $ 200 billion valuation – Yahoo Finance

The world's leading cryptocurrency exchange Binance seeks government funding despite being in the crosshairs...

By wpadminsonic164
Monero, Stellar, AAVE Value Evaluation: August twenty second – AMBCrypto Information Stellar

Monero, Stellar, AAVE Value Evaluation: August twenty second – AMBCrypto Information

Major cryptocurrencies have shown mixed trading so far, with Bitcoin reversing its losses by...

By wpadminsonic164
BITCOIN CRASH (essential add)!! MY NEW STRATEGY, BITCOIN PRICE PREDICTION & BITCOIN NEWS TODAY!! Videos

BITCOIN CRASH (essential add)!! MY NEW STRATEGY, BITCOIN PRICE PREDICTION & BITCOIN NEWS TODAY!!

BITCOIN CRASH (important upload)!! MY NEW STRATEGY, BITCOIN PRICE PREDICTION & BITCOIN NEWS TODAY!!...

By wpadminsonic164
Bexplus lists Cardano (ADA), provides 100x leverage and 100% deposit bonus – CryptoGlobe Cardano

Bexplus lists Cardano (ADA), provides 100x leverage and 100% deposit bonus – CryptoGlobe

In order to do justice to the fast growing market for Cardano ($ ADA),...

By wpadminsonic164
Dogecoin Elliott Wave Evaluation: Appears to be Transferring Down – FXStreet Dogecoin

Dogecoin Elliott Wave Evaluation: Appears to be Transferring Down – FXStreet

If the crypto market extends its decline today, we would likely have five waves...

By wpadminsonic164
Ethereum’s EIP-1559 improve burned $ 400 million in ETH: report Ethereum

Ethereum’s EIP-1559 improve burned $ 400 million in ETH: report

Ethereum's EIP-1559 upgrade burned $ 400 million in ETH instead of handing it over...

By wpadminsonic164
Gary Gensler Says Bitcoin is Actual Bitcoin

Gary Gensler Says Bitcoin is Actual

Gary Gensler, the new chairman of the Securities and Exchange Commission (SEC), confirmed the...

By wpadminsonic164
The transition between fiat and bitcoin Bitcoin

The transition between fiat and bitcoin

One world, two systems: Why Bitcoin and Fiat have to learn to live togetherTwo...

By wpadminsonic164