FBI Seizes Crypto Exchange Allegedly Used to Launder $70M From Ransomware Attacks
Federal prosecutors in Michigan, with international partners, have dismantled the cryptocurrency laundering platform E-Note and unsealed an indictment against its alleged operator, Russian national Mykhalio Petrovich Chudnovets. Chudnovets is accused of conspiring to launder criminal proceeds, helping cybercriminals internationally transfer and convert illicit funds from ransomware, account takeovers, and other cybercrimes. Since 2017, over $70 million in illegal proceeds allegedly passed through E-Note and its money mule network. Authorities seized E-Note’s servers, mobile apps, and related websites, obtaining customer and transaction data for ongoing investigations. Chudnovets reportedly began these activities as early as 2010, later formalizing them under E-Note. Despite E-Note’s significant role in the cybercriminal ecosystem, it maintained a minimal online presence. This action is part of a larger crackdown on cryptocurrency-related crime, as crypto-enabled theft and fraud remain prevalent, with billions reported stolen in 2024 and a high volume of investment fraud complaints.
