Bitcoin trader by the name Jacob Burrell Campos, who is from California is currently being persecuted.
According to an announcement from the Department of Justice in the Southern District of California, the 21-year-old Bitcoin trader was ordered to be held without bail at a hearing on Friday in connection to the charges.
Burrell is being prosecuted for allegedly committing numerous counts of illegal money transmission and money laundering.
According to the case filed against Burrell in Aug. 8, the persecutor claimed that, from January 2015 to April 2016, Burrell sold about $750,000 worth of bitcoin to 900 individuals in the U.S. via his bitcoin exchange service.
Burrell commited many crimes both unknowingly and intentionally. The bitcoin exchange used by Burrell was not registered as a licensed money transmitter and he intentionally failed to implement anti-money laundering measures. As such, he was accused of one count of illegal money transmission and one count of money laundering.
In addition, the prosecutors said in order to fund his “illegal” bitcoin exchange, Burrell committed a total 28 counts of international money laundering.
From February 2015 to February 2016, Burrell allegedly wired at least $900,000 in 30 transactions from his bank accounts in the U.S. to Hong Kong-based crypto exchange Bitfinex to buy bitcoin.
The transfers were allegedly conducted in an effort to avoid ID verification processes after Burrell’s trading account with U.S.-based crypto exchange Coinbase was closed, the document said.
The prosecutors said in the announcement:
“Burrell’s activities ‘blew a giant hole’ through the legal framework of U.S. anti-money laundering laws by soliciting and introducing into the U.S. banking system close to $1 million in unregulated cash.”
Following all this, the US government has therefore revealed that if the 21-year-old bitcoin trader is found to be guilty in any of the charges, all his property would be forfeited.