Blockchain Analysis Exposes 4 Crypto Wallets Linked to Chinese Fentanyl Network Operating from Japan

According to blockchain analysis of court evidence, investigators identified four digital wallets connected to a Chinese fentanyl trafficking organization that operated from Nagoya, Japan beginning in September 2022. The wallets showed over 120 cryptocurrency interactions with entities sanctioned by US authorities. Authorities found the operation received crypto payments from Mexican drug cartels buying fentanyl precursor chemicals and traced fund transfers involving sanctioned Chinese national Xia Fengbing. The findings underscore Japan's role as a transit hub in global smuggling routes and highlight challenges authorities face tracking crypto-based criminal networks.
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