US arrests Mexican cryptocurrency wallet believed to be linked to Sinaloa Cartel

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US arrests Mexican cryptocurrency wallet believed to be linked to Sinaloa Cartel

The U.S. Treasury's Office of Foreign Assets Control has arrested a Mexican cryptocurrency wallet, which is believed to have links to Sinaloa Cartel.

The OFAC identified Castro as the head of a money laundering organization that utilizes digital currencies and wire transfers to transfer funds to Sinaloa Cartel leaders. The commission also alleged that members of the cartel used an Ethereum wallet to move funds related to the smuggling of fentanyl into the United States.

Blockchain analytics company Arkham Intelligence has reported that the Ethereum wallet began to function in January and received about $740,000 in deposits in a two-month period.

Castro has been added to OFAC's list of'specially designated nationals', meaning his assets in the U.S. will be frozen and citizens or residents will be barred from doing business with him. The updated list also includes Carlos Garcia's Ethereum address, believed to be linked to illegal drug cartels.

Under Secretary of the Treasury for Terrorism and Financial Intelligence, Brian E. Nelson, under secretary of state, said in a statement. ''Our actions show that the Treasury and the administration will continue to relentlessly target the criminal enterprises threatening international security and flooding our communities with fentanyl and other deadly drugs, he said.