Germany Closes eXch Amidst $1.9 Billion Money Laundering Investigation, Seizing €34 Million in Cryptocurrency and 8TB of Data

Germany’s Federal Criminal Police Office (Bundeskriminalamt, BKA) has successfully dismantled the online infrastructure associated with the eXch cryptocurrency exchange due to serious allegations of money laundering and operating an illicit trading platform. This extensive operation, conducted on April 30, 2025, resulted in the confiscation of 8 terabytes of data along with cryptocurrency holdings valued at approximately €34 million (around $38.25 million), which included Bitcoin, Ether, Litecoin, and Dash.

The BKA’s investigation revealed that eXch[.]cx had been operational since 2014, providing cryptocurrency swapping services that allowed users to exchange digital assets, accessible both on the clearnet and the dark web. Notably, eXch openly advertised its lack of anti-money laundering measures on platforms within the criminal underground economy, indicating a clear disregard for regulatory compliance.

Users of eXch were not required to verify their identities or have their data stored, effectively positioning the service as a conduit for concealing illicit financial flows. Since its inception, it is estimated that approximately $1.9 billion in cryptocurrency assets have been transacted through the platform, notably including funds associated with north Korean cybercriminals following the high-profile Bybit hack earlier this year.

The timing of this operation coincided with an announcement from eXch on April 17, indicating its intention to cease operations, which subsequently provided law enforcement with an opportunity to gather substantial evidence and leads. In a communication on the BitcoinTalk forum, eXch expressed its decision to shut down in light of receiving credible information regarding a coordinated effort aimed at terminating their project and prosecuting individuals for purported money laundering and terrorism.

The eXch team adamantly refuted the allegations, asserting that enabling criminal activities was never part of their operational goals. They expressed a lack of interest in continuing a project perceived as criminal, questioning the rationale behind such accusations.

In response to the takedown, the Dutch Fiscal Information and Investigation Service (FIOD) announced that it is pursuing investigations into individuals involved in money laundering and various illegal activities linked to the swap service. Authorities emphasized that the actions taken should not be misconstrued as an infringement on privacy rights. Rather, they underscored the necessity for intervention when services are exploited for criminal conduct.

Officials urged individuals engaged in illicit activities to desist immediately, warning of severe legal consequences, and reiterated that the challenge lies not within the right to privacy, but in the criminal misuse of services designed for legitimate purposes.