Brazilian police have frozen approximately US$196 million in assets of a cryptocurrency money laundering drug trafficking ring

Brazil's federal police are fighting a drug trafficking ring that launder money through cryptocurrency in Operation Commodity that has smuggled more than 6.5 tons of cocaine into Europe through the Port of Rio de Janeiro since 2021, hidden in cargo of coffee, cement and mortar. The operation covered São Paulo, Minas Gerais, Santa Catarina and Espírito Santo. Police executed 13 preventive arrests and 44 search and seizure warrants. Court ordered the seizure of assets and freezing of up to 1 billion reais in assets, approximately US$196 million. Police said the gang was linked to Primeiro Comandoda Capital (PCC) and Comando Vermelho (CV) and laundered money through a luxury car dealer and shell company in the Greater Sao Paulo area, which sold vehicles such as Ferraris, Porsche, Corvette and LandRover. Those involved used shell companies to issue invoices that lacked supporting documents, introduced drug trafficking proceeds into Brazil's financial system, and used cryptocurrency to hide transactions. Suspects will be held accountable for crimes such as transnational criminal organizations, international drug trafficking and money laundering.