German law enforcement has shut down eXch, a cryptocurrency exchange allegedly used to launder money and support criminal activity. The eXch crypto exchange takedown follows a joint operation by Germany’s Federal Criminal Police Office (BKA) and the Frankfurt am Main Public Prosecutor’s Office, which seized the platform’s servers on April 30, 2025.
According to the BKA, eXch had operated since 2014, providing crypto-swapping services both on the surface web and the dark web. The exchange was reportedly advertised on underground forums for its lack of anti-money laundering (AML) protections, absence of identity verification, and its refusal to store user data—all features that made it a favored platform for concealing fraudulent crypto transactions.
eXch Linked to North Korean Crypto Hack
German authorities believe that a portion of the $1.5 billion in Ethereum stolen from Bybit on February 21, 2025, was likely funneled through eXch. The Bybit attack has been linked to Lazarus, a state-sponsored hacking group from North Korea that has been connected to multiple high-profile cybercrimes.
In its official statement, the BKA said the operators of eXch are “suspected of commercial money laundering and operating a criminal online trading platform.” Authorities believe the platform knowingly facilitated illicit financial flows by allowing anonymous crypto swaps.
Just two weeks before the takedown, eXch’s operators posted on a forum announcing plans to shut down by May 1. The announcement followed what they described as a tip-off from “individuals in the state intelligence sector” warning that the platform was under investigation.
In their post, the operators denied any intent to support illegal activity: “The goals we certainly never had in mind were to enable illicit activities such as money laundering or terrorism, as we are being accused of now,” they wrote. “We also have absolutely no motivation to operate a project where we are viewed as criminals.”
Despite these claims, German officials assert that the platform’s structure was built to evade regulatory scrutiny and attract criminal usage.
Ongoing Crackdown on Illicit Crypto Platforms
The eXch crypto exchange takedown is the latest move by European authorities to crack down on unregulated cryptocurrency platforms used for laundering illicit funds. Law enforcement agencies across Europe have intensified efforts to disrupt dark web markets and anonymous exchanges, which they say fuel cybercrime, terrorism financing, and ransomware operations.
Germany’s BKA emphasized the importance of enforcing anti-money laundering laws in the crypto space, where pseudonymity and lack of oversight often allow criminal actors to operate unchecked.
As global scrutiny over crypto-related crime grows, more jurisdictions are stepping up pressure on exchanges to implement strict KYC (Know Your Customer) and AML protocols.
