Police Retrieve $6.4 Million Worth of Crime-Related Crypto Assets

This year has witnessed a number of high profile security breaches leading to the loss of funds and customers’ trust. While the loss of funds remains a matter of concern for corporations, the use of the illicit funds is even more concerning. This is why the Australian Federal Police’s recent crackdown on a crime-related crypto holding comes off as an encouraging development for the crypto community.

Just recently, the Australian Federal Police announced that it had taken possession of about $6.4 million worth of crypto assets. The recovery occurred as the AFP tries to unravel the identities of the perpetrators behind the Ghost app. Ghost is a platform deployed by organized crime groups due to its encrypted communication feature, which protects message channels. 

The $6.4 million worth of crypto assets was retrieved from one Jay Je Yoon Jung, a 32 year old resident of New South Wales. The 32 year old suspect was tracked and arrested by the AFP under the “Operation Kraken” drive. Following his arrest on 17th of September, he has been charged with several offenses including funding a crime syndicate.

According to the police, they had to uncover the seed phrase protecting Jung’s wallets before they could access the retrieved funds. After gaining access, the AFP, acting under the jurisdiction of the Commonwealth Proceeds of Crime Act 2002 moved the funds from Jung’s wallet to a safer location. According to the Act, Federal authorities could retain assets that are likely to fund the illicit activities of criminal groups. 

With this development, this is Operation Kraken’s second successful take-over of crypto assets connected to criminal organizations. Its first was  a takeover of assets connected to a criminal group resident in the Western part of the country. So far, Operation Kraken has carried out 93 search warrants which led to 46 arrests and the recovery of illegal firearms numbering 30.