Dutch detain suspected developer of crypto mixer Tornado Cash

AMSTERDAM (Reuters) – Dutch authorities on Friday stated they’d arrested a 29-year-old man believed to be a developer for the crypto mixing service Twister Money, which the US placed on its sanctions listing this week.

The U.S. sanctions introduced on Monday adopted allegations that Twister Money was serving to conceal billions in capital flows, together with for North Korean hackers.

By mixing cryptocurrencies, the web service makes it doable to hide the origin or vacation spot of digital funds, rising their anonymity.

Twister Money is likely one of the largest crypto blenders recognized as problematic by the U.S. Treasury.

The Dutch public prosecutor’s workplace for critical fraud, environmental crime and asset confiscation (FIOD) stated Twister was suspected of getting laundered greater than $7 billion price of digital foreign money because it was created in 2019.

Twister Money didn’t reply to a request for remark.

The FIOD stated the person, who was not recognized, was arrested in Amsterdam on Wednesday. He’s believed to have helped facilitate legal transactions, together with “funds stolen by hacks by a gaggle believed to be related to North Korea.” He faces cash laundering expenses.

In June the Monetary Superior Cyber Crew division of the FIOD began an legal investigation into Twister Money, the assertion stated. It discovered Twister Money had been used to hide large-scale legal cash flows, together with from (on-line) thefts of cryptocurrencies.

Additional arrests haven’t been dominated out, prosecutors stated.

Monday’s transfer froze any U.S. belongings of the crypto mixer and customarily bars People from coping with it.

(Reporting by Anthony Deutsch, Modifying by Louise Heavens)