The bankrupt AAX crypto exchange withdrew 24,000 ETH from inactive wallets
The AAX crypto exchange, which was declared bankrupt, began transferring large amounts from its wallets. The nature of the transactions indicates an attempt at money laundering, Cyvers said in a statement.
The AAX crypto exchange from Hong Kong, which was declared bankrupt, transferred funds to several trading platforms. This was reported by Cyvers analysts.
Experts have drawn attention to suspicious transactions involving AAX. In early February, more than 24,000 ETH were withdrawn from crypto-exchange wallets, which is about $70.5 million at the time of writing.
Analysts noted that the nature of the transactions indicates attempts to circumvent anti-money laundering (AML) controls:
"The observed activity indicates that the exchange is trying to avoid AML. Part of the platform's funds has been frozen by Tether," Cyvers said.
The experts explained that the owner of the specified addresses initiated money laundering through decentralized platforms. First, he distributed ETH between several wallets and transferred them to UmbraCash. After receiving WETH, he again exchanged assets for Ethereum and USDT stablecoins. Ultimately, an unknown person used the TRON blockchain to transfer funds through the SWFT Blockchain.
According to available information, before its collapse, AAX was one of the largest crypto exchanges in Hong Kong with more than 2 million users. A few days after the FTX platform declared bankruptcy, AAX stopped withdrawing funds and deleted all social media accounts. At the time of publication, the exchange's website remains unavailable, and the X page (formerly Twitter) has not been updated since November 2022.
Source: https://incrypted.com/obankrotivshayasya-kriptobirzha-aax-vyvela-24-000-eth-s-neaktivnyh-koshelkov/
