Uppsala Security Assists Sri Lanka’s Officials in Cracking First Cryptocurrency Case
Singapore, August 6th, 2024 — Uppsala Security is honored to share that it has been instrumental in supporting a landmark investigation in Sri Lanka, marking the country’s first large scale case involving cryptocurrency assets. The team worked closely with local authorities, especially the Financial Intelligence Unit, conducting thorough investigations that led to the issuance of arrest warrants for individuals involved in a prohibited scheme under S. 83C of the Banking Act, №30 of 1988 — a fraudulent investment scam that had a significant impact on numerous victims and their digital assets. We would also like to recognize the GLACY-e project of the Council of Europe and INTERPOL, and ViCTOR project of INTERPOL’s Financial Crime Unit (IFCACC) and Ministry of Foreign Affairs Japan, that enabled the public-private partnership for this landmark investigation.
As the investigation remains active and thus specific details are still confidential, Uppsala Security continues to offer its active support in combating both local and global cybercrime. Notably, this is not the company’s first engagement in significant international cases. In 2023, Uppsala Security participated in the Africa Cyber Surge II Operation, a collaborative initiative led by INTERPOL and AFRIPOL aimed at curbing the rising tide of cybercrime across Africa, which resulted in the arrest of 14 individuals involved in cybercriminal activities.
In the ongoing case in Sri Lanka, the malicious actors were identified as having financial transactions, collections and gains of over a billion Sri Lankan rupees which were transformed through both banking and non-banking mechanisms. Uppsala Security has played a pivotal role by utilizing its expertise in tracking and analyzing cryptocurrency transactions. The team employed its proprietary tools, the Crypto Analysis Transaction Visualization (CATV) and Crypto Asset Monitor Services (CAMS), to dissect and understand the complex web of transactions linked to the illicit Ponzi scheme. These tools are specifically designed to detect and trace the digital footprints left by cybercriminals, facilitating swift and effective responses by law enforcement.
The Crypto Analysis Transaction Visualization (CATV) tool provides comprehensive insights into the dynamics of cryptocurrency transactions. It is engineered to monitor both incoming and outgoing transactions associated with specific wallets, enabling users to meticulously trace, analyze, monitor, and visually represent cryptocurrency flows, including interactions with exchanges and smart contracts.
CATV proves indispensable for identifying potentially dubious activities such as tumbling, mixing, or dealings with wallet addresses that are blacklisted or flagged as suspicious in Uppsala Security’s Threat Intelligence Database (TRDB). These capabilities are essential for aiding investigators in successfully tracking the movements of cybercriminals and identifying the exchanges/Virtual Asset Service Providers (VASPs), used to liquidate the compromised digital assets.
Uppsala Security’s proactive involvement in these investigations highlights its crucial role in fostering a safer digital landscape by addressing the complexities of cryptocurrencies in financial crimes. As more information becomes available and can be disclosed about the case in Sri Lanka, we will deliver a detailed update in a forthcoming article.
About Uppsala Security
Uppsala Security is a leading provider of innovative security tools and services, specializing in Crypto Anti-Money Laundering/Counter-Terrorist Financing (AML/CTF), Transaction Risk Management, Regulatory Compliance, and Transaction Tracking. With a team of experts dedicated to staying ahead of emerging threats, Uppsala Security empowers both end-users and organizations with the knowledge and tools to safeguard their operations in the fast-paced world of cryptocurrencies.
