German police seize crypto exchange eXch

The Record, a news site by cybersecurity firm Recorded Future, reports that German authorities have seized cryptocurrency assets and server infrastructure belonging to eXch, a digital currency platform allegedly involved in laundering funds from a February 2024 hack of Bybit valued at $1.46 billion.

The operation was conducted by the Federal Criminal Police Office and Frankfurts cybercrime prosecutors on April 30, following the platforms announcement that it would shut down by May 1 due to anticipated law enforcement action. Authorities confiscated more than $38 million in digital assets, over 8 terabytes of data, and servers located in Germany. Investigators acted quickly after eXch declared plans to cease operations, enabling the securement of substantial evidence. eXch, which promotes itself as a privacy-centric exchange, has long drawn criticism from researchers and law enforcement for facilitating anonymous transactions, making it susceptible to illicit use. Blockchain analytics firm Elliptic linked more than $200 million in stolen Bybit funds to eXch, despite the platforms denial of significant involvement. German investigators believe roughly $1.9 billion in cryptocurrency has passed through the platform since its 2014 launch.