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.
Vancouver is exploring using Bitcoin in its financial reserves to protect against economic instability and inflation. The city aims to position itself as a hub for digital asset businesses and attract tech talent.
WeatherlyBrazil is considering a law to create a Bitcoin reserve, RESBit, as part of its economic strategy to strengthen stability and support its digital currency, Drex. Inspired by El Salvador's Bitcoin use, the reserve would diversify assets and be managed with blockchain for transparency.
WeatherlyRumble is investing up to $20 million in Bitcoin as part of its strategy to diversify its treasury and strengthen ties with the crypto community. This move follows the example of companies like MicroStrategy, which has invested billions in Bitcoin.
JoyBitcoin is nearing the $100,000 mark, driven by growing optimism around Trump’s crypto-friendly policies and rising institutional interest. The crypto market is surging, with altcoins also gaining strength, signaling a bullish trend across the sector.
AnaisSouth Africa's Schindlers Digital Assets has created a legal process allowing cryptocurrency holders to buy property, making it easier to use digital assets for real estate transactions. The first event will be a property auction on 21 November 2024, marking a key step in integrating crypto with the real estate market.
AnaisMichael Saylor plans to present a Bitcoin investment strategy to Microsoft’s board ahead of a key vote on 10 December. The proposal, backed by shareholder activism, suggests Microsoft consider Bitcoin as a potential investment, citing MicroStrategy's success with the asset.
AnaisA Brazilian pianist lost access to his Bitcoin wallet worth over 2 million reais after misplacing his recovery phrase. Despite efforts to recover it, he faces the harsh reality that without the backup phrase and PIN, the funds are likely gone for good.
JoyNFT sales surged to $181 million in the week ending 17 November 2024, driven by the broader cryptocurrency market rally, particularly Bitcoin's rise. Ethereum and Bitcoin led the market, while other blockchains like Solana also contributed to the rebound.
AnaisSince Trump's election, Bitcoin has seen a surge of 230,000 new funded wallets, signalling strong retail interest driven by FOMO. This influx of new investors is contributing to Bitcoin's price stability and pushing its dominance in the crypto market above 50%.
WeatherlyBlockchain security experts are raising concerns about the Safereum project's developers, who have reportedly sold off a significant amount of their native token after the project successfully concluding a $600,000 fundraising campaign.
AaronMicrosoft recently announced intentions to invest a significant A$5 billion ($3.2 billion) to strengthen its presence in the Australian market.
Hui XinOnly one region has seen an increase in crypto adoption- but how sustainable is it?
ClementAccording to DTCC’s spokesperson, appearing on the list is not indicative of an outcome for any outstanding regulatory or other approval processes.
CatherineBlackRock has agreed to pay the $2.5 million fine in a bid to resolve the charges brought forth by the SEC.
KikyoRecent transfers of substantial digital assets from #FTX and #Alameda wallets to #Binance and #Coinbase have sparked speculation about potential asset sales, amid concerns over the upcoming Bitcoin ETF.
BrianBlockFi has made an announcement of significant importance, allowing the submission of withdrawal requests from both US and international users.
CatherineThe transferred assets underwent a two-step process, initially being moved to a holding wallet before eventually reaching the centralised exchanges.
DavinPEPE memecoin has outperformed SHIB and DOGE, surging with a record-breaking token burn and newfound investor confidence
JasperTelegram bot Maestro, known for providing crypto trading tools for traders directly on Telegram has been compromised with more than $500k stolen
Aaron