Alan Joseph, a 36-year-old from Lancaster, Massachusetts, was found guilty on 22 November 2024 following a five-day jury trial.
According to the United States Department of Justice’s official statement, he was convicted on multiple charges related to his involvement in an unlicensed money transmission operation that helped a person engaged in trafficking counterfeit goods.
Joseph was charged with one count of operating an unlicensed money transmitting business and three counts of money laundering.
Joseph’s conviction stems from his role in converting illicit cash into Bitcoin, a process that helped criminals obscure the origins of their illegal profits.
Between August 2020 and February 2021, Joseph took part in several transactions involving the exchange of large sums of cash for Bitcoin.
These transactions were tied to what Joseph believed was illegal trafficking in counterfeit goods.
One significant meeting took place on 28 October 2020, when Joseph converted approximately $25,000 into Bitcoin for an undercover agent.
Source: Freepik
During the transaction, the agent told Joseph that the money came from “rich housewives” who bought “fake” items.
Joseph not only agreed to the exchange but also showed interest in purchasing counterfeit goods from the agent, a clear indication that he was fully aware of the illegal nature of the activities involved.
Source: Unsplash
Joseph’s actions proved crucial in enabling these criminal operations to continue.
By converting large sums of cash into Bitcoin, he helped conceal the financial trail, making it harder for authorities to trace illicit funds.
His willingness to assist in laundering money for those involved in trafficking counterfeit goods demonstrated his disregard for the law and his readiness to support criminal enterprises.
According to United States Attorney Joshua S. Levy,
“Mr. Joseph’s conduct made him a critical cog in criminal enterprises, willingly converting illicit cash into cryptocurrency to help his customers conceal their tracks.”
Levy added that the case sends a strong message about holding individuals accountable who exploit technologies like cryptocurrency for illegal purposes.
Joseph’s unlicensed business was also a violation of federal laws regulating money transmission.
Despite dealing with substantial amounts of cash and cryptocurrency, Joseph never registered his business with the Department of the Treasury, as required by law.
Source: iStock
Additionally, he failed to request identification from the undercover agent during their meetings, further complicating the legality of his actions.
The investigation and subsequent conviction of Joseph highlight the collaborative efforts of several law enforcement agencies.
Special Agent in Charge of the FBI’s Boston Division, Jodi Cohen, commented,
“This conviction proves that Mr. Joseph was more than willing to help criminals conceal their criminal cash flow in an attempt to cover up illegal activity.”
Homeland Security Investigations (HSI) Special Agent in Charge Michael J. Krol added,
“Criminals rely on money laundering operations like the one run by Alan Joseph to obscure their proceeds, helping criminal enterprises evade detection, enhance profit margins and avoid tax liability.”
Joseph faces severe penalties for his actions.
The charge of money laundering carries a potential sentence of up to 20 years in prison, alongside up to three years of supervised release and a fine of up to $250,000.
Operating an unlicensed money transmitting business carries a maximum sentence of five years in prison, also with the possibility of three years of supervised release and a fine of up to $250,000.
Source: Freepik
The sentencing will take place on 24 February 2025, where the judge will consider these factors in determining Joseph’s punishment.
The U.S. Postal Inspection Service (USPIS) also played a role in the investigation, as Joseph was known to have received money through the U.S. Mail.
Source: andragogytheory.com
Ketty Larco Ward, Inspector in Charge of USPIS in New England, warned,
“This conviction sends a stark warning to anyone who thinks they can illegally use the U.S. Mail for their own gain.”
The case against Joseph serves as a reminder of the increasing attention being paid to the intersection of cryptocurrency and illicit activities.
Federal agencies, including the FBI, Homeland Security Investigations, and the IRS Criminal Investigation Division, are committed to disrupting money laundering operations that facilitate illegal financial networks.
Joseph’s conviction is a step toward weakening these criminal enterprises and ensuring the integrity of financial systems.
The work of Assistant U.S. Attorneys John T. Mulcahy and Lindsey E. Weinstein, who prosecuted the case, along with the cooperation of federal and local law enforcement, ensures that those who attempt to exploit emerging technologies for criminal gain will face the full force of the law.
A Philippine lawmaker has proposed that the central bank buy 2,000 bitcoins each year for five years, creating a national reserve of 10,000 coins. The plan aims to strengthen the country’s finances and provide a long-term store of value alongside traditional reserves like gold and foreign currency.
WeatherlyJapan plans to tax crypto profits at a flat 20% instead of rates as high as 55%. The regulator also aims to allow crypto ETFs and approve the country’s first yen-backed stablecoin.
AnaisArthur Hayes, the BitMEX co-founder pardoned by Donald Trump, has invested in a stem cell firm with clinics in Mexico and Bangkok. He is also backing crypto treasury firms while warning that the market may already be overheating.
WeatherlyA Pennsylvania lawmaker has put forward a bill to stop politicians and their families from owning or trading crypto while in office. The plan follows claims that Donald Trump has used his role to profit from tokens like his own memecoin.
WeatherlyBitcoin has retraced below $117,000 after reaching an all-time high last week, signaling a pause in upward momentum and growing caution among investors.
XingChiDutch cryptocurrency company Amdax is preparing to launch one of Europe’s most ambitious Bitcoin strategies yet: creating a dedicated Bitcoin treasury firm, seeking a listing on Amsterdam’s Euronext, and ultimately aiming to acquire 1% of the total Bitcoin supply.
XingChiThe SEC has delayed decisions on several crypto ETFs, including Bitcoin, Ethereum, Solana, XRP, Litecoin, and Dogecoin, pushing most deadlines into October. Regulators are working on new listing standards that could allow faster approvals of altcoin ETFs once rules are finalised.
WeatherlyTaiwan’s WiseLink led a $10 million funding round for Nasdaq-listed Top Win International, helping the company buy Bitcoin and expand into digital assets. The deal makes WiseLink the first public Taiwanese firm to back a Bitcoin treasury strategy and aims to combine crypto holdings with cross-border business operations.
WeatherlyCitigroup plans to offer custody services for assets backing stablecoins and cryptocurrency ETFs, aiming to meet new US rules. The bank is also developing stablecoin payment solutions for faster cross-border transactions.
WeatherlyMetaplanet bought 518 more bitcoins for about $61.4 million, bringing its total holdings to 18,113 BTC. The company uses creative financing methods to keep buying and aims to hold 210,000 BTC by 2027.
WeatherlyRepubliK partners with TON to integrate familiar social media aspects into a user-friendly Web3 platform, emphasizing engagement and flexibility.
Alex2023 marked a significant year for blockchain in finance, with key players like Franklin Templeton and JPMorgan showcasing the technology's efficiency and growth potential.
KikyoTaiwanese authorities issue a stern warning against cryptocurrency betting, citing legal repercussions and ongoing investigations into activities involving platforms like Polymarket.
Hui XinOriginating as an extension of Nexon's iconic MapleStory IP, which gained global popularity since its inception in 2003, MapleStory M transitioned to mobile in October 2016, laying the groundwork for global expansion in July 2018.
Brian45-year-old Mr. Hsu led a fraudulent pyramid scheme exploiting the elderly, establishing a fake investment platform and app named "DuoDuo Blind Boxes." They conducted investment seminars across Taiwan, enticing people to join by promising a 3% profit on reselling these blind boxes, pressuring them to become members and purchase USDT for deposit.
JoyVeChain's unexpected rise in December 2023 sparks investor interest, despite previous stagnation.
AlexThe Frame mainnet and the accompanying tokens are set to launch simultaneously on January 31, 2024.
Brianthe OKX Wallet app's recent vulnerability necessitates an immediate update by its iOS users. Despite the rapid response and fix by OKX, the incident underscores the ongoing vigilance needed in digital asset security.
KikyoOKX, with CertiK, discloses iOS wallet flaw, urging updates; amid debates, users face risks as both navigate crypto challenges.
Hui XinHong Kong-based digital asset group HashKey's Singapore subsidiary, HashKey Capital Singapore, has secured a significant regulatory milestone, obtaining a full Capital Markets Services (CMS) licence from the Monetary Authority of Singapore (MAS). This licence empowers the firm to deliver regulated fund management services primarily concerning capital markets products within Singapore.
Joy