The U.S. Department of Justice (DOJ) has initiated legal action against numerous China-based companies and their employees, implicating them in the manufacturing and distribution of fentanyl and methamphetamine.
These companies allegedly use cryptocurrency as a means to obscure identities and financial transactions, shedding light on the intersection of digital currency and illegal drug trade.
Drug Distribution in the U.S.
US authorities seized 1,000 kilograms of "fentanyl-related precursor chemicals", and effectively tracked packages containing these chemical components through the US mail.
China-based manufacturers shipped a range of substances, including fentanyl and methamphetamine precursors, opioid additives, and synthetic opioids, on a global scale.
These substances were subsequently mixed and distributed by drug cartels and other entities within the United States.
Fentanyl Epidemic
According to the DOJ's statement, fentanyl stands as the primary cause of death among individuals aged 18 to 49 in the country.
The statement further noted that from February 2022 to January, at least 105,263 Americans died from drug overdoses, with the majority involving synthetic opioids like fentanyl and its analogues.
Crack Down
Authorities have also taken action against the use of cryptocurrency in drug distribution.
The Department of the Treasury's Office of Foreign Assets Control recently sanctioned a member of Mexico's Sinaloa Cartel, alleging the use of an Ethereum wallet to move funds associated with the smuggling of fentanyl into the United States.