illegal

According to Philippine crypto media BitPinas, in response to CoinDesk's previous report regarding Coinsph facing the risk of license revocation due to alleged involvement in offshore betting transactions, the Philippine crypto trading platform Coinsph stated that its virtual asset service provider (VASP) license under Betur Inc. and the electronic money issuance (EMI) license of DCPay Philippines are currently both valid, and it denies providing services to non-compliant offshore betting operators.Coinsph stated that the restrictions imposed by the Philippine central bank only involve fiat currency top-ups to DCPay through InstaPay and PESONet, while cryptocurrency trading, withdrawals, and other payment services are still operating normally. The company also acknowledged that the central bank has requested it to improve its internal control measures and is currently cooperating with regulatory requirements. The Philippine central bank declined to comment on specific regulatory matters.

According to a report by the Korean News Agency, the Financial Services Commission of South Korea and the Financial Supervisory Service are strengthening monitoring of "perpetual contracts" linked to Korean stocks and stock indices traded through global virtual asset platforms.If illegal business activities targeting Korean residents, such as soliciting account openings or trading, are found on overseas platforms, the regulatory authorities will refer the matter to investigative agencies and take strict countermeasures.

According to a report by The Paper, the case of Qian Zhimin, involving over 40 billion yuan in illegal fundraising and more than 60,000 bitcoins, has seen new developments in domestic judicial procedures. The Tianjin Second Intermediate People's Court announced that it has accepted the Tianjin People's Procuratorate Second Branch's application to confiscate the illegal gains of the suspect Qian Zhimin as of September 28.According to the property confiscation list published by the Tianjin Second Intermediate Court, in addition to bitcoins, the involved virtual currencies also include 72,745.79502 bitcoins cash, 72,745.78555 bitcoins gold, 72,745.7845 bitcoins Satoshi Vision, 3,605,989.9995 ripples, and 70,081,208.62553222 dogecoins (which have been converted and deposited into an interest-bearing account by British judicial authorities). Additionally, the confiscated assets also include cash in US dollars, euros, and British pounds, jewelry, as well as bank balances and investment portfolios.The Tianjin People's Procuratorate Second Branch believes that Qian Zhimin is suspected of fundraising fraud, and after fleeing, he has been wanted for a year without appearing in court. There is evidence proving that over 61,800 bitcoins and other assets seized in the UK belong to illegal gains and their proceeds, and should be recovered along with the transformed and converted properties and proceeds, except for those legally returned to the harmed fundraising participants, which should be confiscated.

According to the 21st Century Business Herald, the Chaoyang Branch of the Beijing Public Security Bureau reported that it has recently filed a case for investigation into the suspected illegal activities of related companies of Yixin. Currently, several criminal suspects, including the actual controllers Tang and Zhao, have been subjected to criminal coercive measures in accordance with the law.Yixin Group had previously fully suspended the redemption of quasi-fixed income products on May 22 and issued an apology letter to relevant investors on October 11. Yixin stated that the group has incurred significant losses in multiple businesses, and the market value of asset disposal is relatively low. Preliminary findings indicate that the group may be insolvent and has a significant debt repayment gap.

According to Iranian media Fars News, an advisor from the Iranian Revolutionary Guard stated that they will soon block the "illegal" shipping routes in the Strait of Hormuz.

ZachXBT posted on platform X that UPay may allow the sanctioned illegal market Xinbi to issue its Visa crypto card and requested UPay to clarify the situation.ZachXBT stated that Xinbi is mainly involved in pig butchering scams, fraud, money laundering, and human trafficking.

Zano disclosed that there is a validation deficiency in the Gateway Addresses introduced by Hard Fork 6, allowing attackers to mint approximately 18.4 million ZANO in a single transaction, and on September 25, they minted the same amount again, also minting fUSD in the same manner.The project team stated that the value of the related fraudulent tokens exceeds 200 million dollars, with potentially affected activities involving 117,941 outputs and 65,301 transactions. Zano has restored the chain state from block 3,833,000 and disabled the Gateway Addresses, and the affected balances will be fully restored, with the ZANO supply and issuance plan remaining unchanged.

According to the Star newspaper, police in the central region of Perak, in collaboration with the National Energy Company (TNB), launched an operation in Seri Iskandar to dismantle an illegal cryptocurrency mining site and arrested two local men.The individuals involved are suspected of illegally connecting wires to power Bitcoin mining machines. Police seized 30 Bitcoin mining machines, routers, desktop switches, and a roll of wire at the scene. The case is being investigated under Section 427 of the Penal Code and Section 37(1) of the Electricity Supply Act 1990.Police emphasized that stealing electricity for mining is not only illegal but can also cause significant losses to the power company and pose a fire risk.

According to Bloomberg, the New York State government has filed a lawsuit accusing the prediction market platform Polymarket of operating an illegal gambling business. Specific allegations in the lawsuit and the remedies sought by New York State have not yet disclosed further details.

According to a report by TASS, Bogdan Shablya, head of the financial monitoring and foreign exchange regulation department of the Central Bank of Russia, stated that the Central Bank of Russia expects that after the implementation of laws related to digital currencies, the issue of illegal cryptocurrency exchanges will be resolved, and the related "gray area" should disappear before July 1, 2027.After that, the market will be clearly divided into "white" and "black" parts, with corresponding penalties implemented.

According to on-chain analyst PeckShield (@PeckShieldAlert), the same attacker successively exploited vulnerabilities in the SingularityNET bridging contract to illegally mint 260 million AGIX and 53.83 million WMTx on Ethereum.Currently, the attacker holds approximately 16.77 million USD in crypto assets, including 198.3 million AGIX (approximately 14.42 million USD), 649 ETH (approximately 1.67 million USD), and 33.58 million WMTx (approximately 627,000 USD).

Paraguayan authorities shut down two illegal cryptocurrency mining facilities in Upper Paraná province within a week, seizing a total of 35 mining machines. One mining site, which was discovered on September 17, illegally drew electricity through a line without an installed meter, resulting in the confiscation of 10 ASIC mining machines, with related costs and fines totaling approximately $30,000.Another operation on September 12 seized 25 mining machines. The Paraguayan House of Representatives has passed a resolution requiring the National Electricity Administration to submit a report on the electricity consumption, electricity prices, and regulatory situation of the cryptocurrency mining industry.

The Financial Conduct Authority (FCA) of the United Kingdom, in conjunction with Her Majesty's Revenue and Customs (HMRC) and the Metropolitan Police Service, conducted raids at multiple locations in London targeting three suspected illegal peer-to-peer cryptocurrency trading venues, issuing cessation notices to the relevant operators, demanding an immediate halt to unregistered cryptocurrency activities.The FCA emphasized that any business engaging in peer-to-peer cryptocurrency trading activities in the UK must complete anti-money laundering registration, and currently, there are no peer-to-peer cryptocurrency trading businesses registered with the FCA within the UK.

The Jiangsu Securities Regulatory Bureau issued a risk warning stating that recently some institutions and individuals have been speculating on the concept of RWA (Real World Asset Tokenization), using phrases like "backed by physical assets, guaranteed principal with high returns, low risk and steady appreciation" to attract public investment. Related activities may give rise to illegal fundraising, fraud, money laundering, and other criminal risks.The Jiangsu Securities Regulatory Bureau emphasized that any financing activities conducted domestically under the name of RWA are illegal financial activities. Without consent or filing, RWA business should not be conducted abroad, and investors are reminded to be wary of promotions such as "guaranteed principal with high returns" and "risk-free profits."

According to Reuters, Mexican authorities discovered an illegal cryptocurrency mining operation in a remote mountainous building in Tehuacán, Puebla, where 300 GPUs, 80 medium-voltage terminals, and 8 satellite antennas were found on-site. Authorities are investigating whether the operation is stealing electricity from a nearby hydroelectric power station.This is the fourth similar crypto farm discovered in the area since early last year, with three others found near a hydroelectric power station in northern Puebla last year. Local residents reported that the noise from the equipment can be heard from a kilometer away. Mexican security analyst David Saucedo stated that drug trafficking groups seem to have reached a new level of sophistication, as establishing such operations requires technical expertise and support from well-funded groups.Chainalysis Latin America expert Caio Motta pointed out that such operations are usually located in areas with extremely low electricity prices or within the reach of organized crime to steal electricity and establish large-scale mining infrastructure.

U.S. Senator Cynthia Lummis stated that the recent lawsuit against Tether for freezing $42.4 million in USDT highlights the regulatory gaps in the current crackdown on illegal financial activities in the cryptocurrency industry. She pointed out that stablecoin issuers and trading platforms may face civil litigation risks if they freeze related assets due to suspicions of illegal activities.Lummis indicated that Section 305 of the "Digital Asset Market Structure Clear Act" would grant stablecoin issuers and trading platforms the necessary authority to promptly freeze stablecoins suspected of being involved in illegal activities while avoiding civil liability as a result.She believes that this provision can help the cryptocurrency industry more effectively prevent the flow of illegal funds and address the legal risks faced by issuers and trading platforms when taking compliance measures.

The cryptocurrency risk data analysis company Bitrace released the "2026 Annual Cryptocurrency Crime Report," which shows that in 2025, the illegal funds received by blockchain addresses marked as high risk across the network reached $50.21 billion. Organized crime networks in Southeast Asia were severely impacted, as the United States and the United Kingdom jointly sanctioned the Cambodian Prince Group, seizing or freezing billions of dollars in cryptocurrency assets, and Huibang Group was forced to temporarily halt its Huibang Payment operations.The report states that in 2025, high-risk addresses for online gambling received $14.53 billion, down from $21.78 billion in 2024; it is predicted that platform funds transferred or bet will reach $6.64 billion. High-risk addresses for money laundering received a total of $6.98 billion, with USDT-related money laundering amounting to $5.7 billion on Ethereum and $60.2 billion on Tron. High-risk addresses for black and gray market transactions received $186.9 billion, almost all occurring on the Tron network, with Huibang Payment receiving $52.4 billion in USDT that year.In 2025, the number of addresses frozen reached 4,059, exceeding the total of 3,199 from the past four years, with 3,406 on Tron. Tether froze over $1.1 billion in USDT, and Circle froze over $23 million in USDC. From 2021 to 2025, the United States, Japan, the United Kingdom, Israel, and France collectively imposed sanctions on at least 1,683 blockchain addresses.

According to Decrypt, the Mexican federal prosecutor, in conjunction with the Navy and Puebla state police, conducted a raid on a property in the remote mountainous area of Tlaola, Puebla, seizing approximately 300 cryptocurrency mining machines, as well as transformers, medium-voltage terminals, and satellite internet antennas.The investigation revealed that the mining operation illegally tapped into the grid of the Nuevo Necaxa hydroelectric power station, and authorities have filed charges for "theft of electricity." Currently, forensic accountants are tracing the source of the hardware funding, and money laundering suspicions have not been ruled out. Data from the Mexican Federal Electricity Commission shows that from January to July 2024, non-technical electricity losses reached up to 6,346 gigawatt-hours, valued at approximately 13.8 billion pesos (about 817 million USD).

The National Security Agency, FBI, and CISA of the United States released a joint report, naming DeepSeek, Dark Side of the Moon, Alibaba, MiniMax, Leap Star, and Zhipu. The U.S. side accuses the aforementioned companies of batch calling the outputs of Claude, GPT, Gemini, and Grok to train their own models since at least the end of 2024, involving millions of requests and billions of tokens.The report lists specific models, with DeepSeek accused of using multiple versions of Claude, GPT, Gemini, and Grok to generate training data for R1 and V3; Dark Side of the Moon is accused of using Claude Fable 5 data to train Kimi K3 and GPT-4o data to train Kimi K2. The U.S. claims these companies also bypass regional restrictions through numerous accounts, third-party API aggregators, and gray intermediaries, and attempt to extract the hidden reasoning processes of the models using prompts, labeling such behavior as malicious distillation.