DOJ Charges Venezuelan National in $1 Billion Crypto Laundering Scheme

The Department of Justice charged a Venezuelan national this week for allegedly using crypto exchanges in a $1 billion money laundering scheme.

According to the complaint, the funds moved in and out of the United States. Outbound destinations included “high-risk” jurisdictions such as Colombia, China, Panama, and Mexico.

Prosecutors Detail Multi-Step Crypto Fund Routing

According to court records, 59-year-old Jorge Figueira of Venezuela is accused of using multiple bank accounts, cryptocurrency exchange accounts, private crypto wallets, and shell companies to move and launder illicit funds across borders.

“By enlisting subordinates and conducting scores of transfers, Figueira sought to conceal the nature of the funds, potentially facilitating criminal activity in numerous countries,” FBI special agent Reid Davis said in a statement. 

Figueira allegedly followed a multi-step process that included converting funds into cryptocurrency and routing them through a network of digital wallets. The crypto assets were then moved through a structured sequence to obscure their origin.

He reportedly sent the funds to liquidity providers to convert the cryptocurrency into dollars, then transferred the funds to his bank accounts and eventually to the final recipients. 

The case against Figueira is currently under review in the Eastern District of Virginia. US Attorney Lindsey Halligan emphasized that the volume of money involved represented substantial risks to public safety.

“Money laundering at this level enables transnational criminal organizations to operate, expand, and inflict real-world harm. Those who move illicit funds in the billions should expect to be identified, disrupted, and held fully accountable under federal law,” Halligan said in a statement.

If convicted, Figueira faces up to 20 years in prison. 

This is one of several investigations that have emerged over the past year. Together, they highlight the growing use of cryptocurrencies in facilitating illicit activities.

Illicit Crypto Flows Surge Despite Oversight

Cryptocurrency crime has reached an all-time high in 2025, and the trend seems to continue into the new year. 

According to a recent Chainalysis report, illicit addresses received at least $154 billion last year. The figure represented a 162% increase from 2024.

Stablecoins, in particular, have been criminals’ preferred crypto asset. In 2020, Bitcoin accounted for roughly 70% of illicit transactions, while stablecoins accounted for only 15% of total volume. 

Five years later, that pattern has reversed. In 2025, stablecoins represented 84% of all illicit transaction volume. Bitcoin’s use shrunk to just 7%.

As a result, major stablecoin issuers have had to intervene. On Sunday, Tether, the issuer of USDT, froze over $180 million in a single day due to suspicious activity detected across Tron-based wallets. 

The episode also highlighted the growing coordination among law enforcement agencies, stablecoin issuers, and blockchain analytics platforms.