Overview
- The federal judge ordered the freezing of 25 cryptocurrency wallets this week and required Binance, Bybit, OKX, CoinEx, FixedFloat and Bitfinex to hand over KYC files, IP logs, bank links and full transaction histories.
- The order rests on a Police Federal cybercrime report that traced funds from 'Team Libra' wallets through Squads multisig addresses and across blockchains into centralized platforms.
- Investigators found a major transfer on May 10 that moved 499,058.3 USDC from Solana through Bridge Finance and delivered roughly 498,539.85 USDT to a Tron wallet in 16 seconds.
- The report describes systematic 'pitufeo digital' or smurfing, where large sums were split into many smaller transfers to multiple exchanges to hinder tracing and conversion to fiat.
- The probe now hinges on the exchanges' responses and a scheduled August 10 hearing in the Federal Chamber that will decide whether displaced investors remain formal claimants in the case.