HM Revenue and Customs (HMRC) confirmed 3 people were arrested on suspicion of VAT fraud (estimated to be $1.9 million) involving 250 alleged shell companies. Three Non-fungible Tokens (NFTs) were seized and approximately $6,700 worth of crypto assets.
According to reports is the first time NFTs are seized by law UK enforcements. The NFTs are not linked to a criminal activity but to a case of tax evasion. The value of the seized NFTs is unknown.
The suspects used false identities, false addresses, VPNs, bogus invoices and pre-paid unregistered smartphones while pretending to operate a legitimate business.
HMRC deputy director Nick Sharp stated the arrest, “We constantly adapt to new technology to ensure we keep pace with how criminals and evaders look to conceal their assets.”
Some headlines from the US Internal Revenue Service (IRS) are likely to be made in 2022. The IRS sees a sharp rise in fraud and tax evasion in NFTs.
NFTs and Money Laundering Non-fungible token are extremely popular. Certain NFTs are currently worth millions of dollars. Throughout pixel art to real estate, the concern for ການຟອກເງິນ ອ່ານເງື່ອນໄຂນີ້ through NFTs is present.
Although at the time of this writing there are little indications that suggest the seized NFTs are related to the VAT fraud, regulators are very concerned with NFTs money laundering.
On 4 February the US Treasury released its study on ‘money laundering risks in the art world’ focusing on NFTs. The primary concern is that NFTs will be used for financing terrorism and money laundering.
A research conduced by Chainalysis is displaying illicit funds that were used to purchase NFTs in 2021.
source: chainalysis
Stolen funds used for buying NFTs was still limited in 2021. As we head into 2022 the amount of NFTs fraud cases may increase, however, NFTs traders may become more aware of potential scams.
At the time of this writing, US regulations on cryptocurrencies ອ່ານເງື່ອນໄຂນີ້ and NFTs may only take place in 2023. There are methods of securing NFTs and cryptocurrencies, Trezor and Ledger are very popular wallets that add an additional security layer.
HM Revenue and Customs (HMRC) confirmed 3 people were arrested on suspicion of VAT fraud (estimated to be $1.9 million) involving 250 alleged shell companies. Three Non-fungible Tokens (NFTs) were seized and approximately $6,700 worth of crypto assets.
According to reports is the first time NFTs are seized by law UK enforcements. The NFTs are not linked to a criminal activity but to a case of tax evasion. The value of the seized NFTs is unknown.
The suspects used false identities, false addresses, VPNs, bogus invoices and pre-paid unregistered smartphones while pretending to operate a legitimate business.
HMRC deputy director Nick Sharp stated the arrest, “We constantly adapt to new technology to ensure we keep pace with how criminals and evaders look to conceal their assets.”
Some headlines from the US Internal Revenue Service (IRS) are likely to be made in 2022. The IRS sees a sharp rise in fraud and tax evasion in NFTs.
NFTs and Money Laundering Non-fungible token are extremely popular. Certain NFTs are currently worth millions of dollars. Throughout pixel art to real estate, the concern for ການຟອກເງິນ ອ່ານເງື່ອນໄຂນີ້ through NFTs is present.
Although at the time of this writing there are little indications that suggest the seized NFTs are related to the VAT fraud, regulators are very concerned with NFTs money laundering.
On 4 February the US Treasury released its study on ‘money laundering risks in the art world’ focusing on NFTs. The primary concern is that NFTs will be used for financing terrorism and money laundering.
A research conduced by Chainalysis is displaying illicit funds that were used to purchase NFTs in 2021.
source: chainalysis
Stolen funds used for buying NFTs was still limited in 2021. As we head into 2022 the amount of NFTs fraud cases may increase, however, NFTs traders may become more aware of potential scams.
At the time of this writing, US regulations on cryptocurrencies ອ່ານເງື່ອນໄຂນີ້ and NFTs may only take place in 2023. There are methods of securing NFTs and cryptocurrencies, Trezor and Ledger are very popular wallets that add an additional security layer.
Source: https://www.financemagnates.com/cryptocurrency/uk-tax-authorities-seize-nfts-for-the-first-time-unearthing-a-sophisticated-tax-fraud/
