FBI Unveils $24M Crypto Money Laundering Network

The FBI recently dismantled a major Dark Web money laundering network following a year-long undercover operation.

At the center was Anurag Pramod Murarka, known online as ElonMuskWHM, who was quietly arrested over a year ago.

Rather than shutting the operation down immediately, the Bureau continued running it covertly to identify and track clients engaged in criminal activities ranging from drug trafficking and cybercrime to armed robbery.

This strategy led to multiple follow-up arrests and exposed the extent of crypto-enabled laundering.

Key to the investigation’s success were Murarka’s cash mules, some of whom turned into confidential informants.

As the case progressed, the FBI employed more aggressive tactics—such as sending low-traffic YouTube links to Murarka via Telegram, then requesting user data from Google to identify viewers.

Carlton S. Shier, IV, a US attorney involved in the case, said:

“Using the internet, the defendant provided his assistance to countless other criminals as they tried to conceal their stolen money and illegal drug proceeds. This case highlights the global scope of cybercrime, as well as the demand for diligence and collaboration in fighting money laundering.”

These methods, while effective, sparked debate over privacy and potential government overreach.

In total, the FBI estimates Murarka laundered over $24 million through the Dark Web in under two years.

He was sentenced to 121 months in prison.

While the operation led to the takedown of several high-level clients, it also reignited concerns about the balance between surveillance and civil liberties in cyber investigations.

Illicit Crypto Flows on Dark Web Still a Major Issue

Following the Bybit hack—the largest crypto theft to date—the perpetrators successfully laundered the stolen funds, underscoring a troubling reality: sophisticated criminal networks can still move massive sums through decentralised finance with little resistance.

The incident has reignited concerns across the crypto community about the scale and effectiveness of current enforcement.

Crypto investigator ZachXBT recently emphasized the growing epidemic of advanced money laundering operations within the DeFi space, calling attention to a critical vulnerability.

Yet, just as awareness is growing, the Department of Justice announced plans to scale back enforcement actions and ongoing investigations targeting crypto exchanges, wallets, and tumblers.

While the DOJ insists it will continue to pursue individual criminals, such a shift could undermine long-term undercover operations—like the one that ultimately led to the takedown of ElonMuskWHM—raising questions about the future of crypto crime enforcement.