U.S. Treasury Sanctions Crypto Networks Tied to Sinaloa Cartel

The U.S. Treasury has taken action against two networks linked to the Sinaloa Cartel, accusing them of using cryptocurrency transactions to move fentanyl trafficking proceeds. The sanctions, announced on Wednesday, were carried out in a coordinated operation led by the Homeland Security Task Force with support from the Drug Enforcement Administration.

According to the Treasury Department, five Ethereum wallet addresses and an individual associated with the cartel were added to the sanctions list. Armando de Jesus Ojeda Aviles was identified as an individual who helped convert cash into cryptocurrency on behalf of the Sinaloa Cartel, while Jesus Alonso Aispuro Felix was linked to transferring drug trafficking proceeds through blockchain-based transactions.

The Treasury Department noted that the sanctions were issued under two executive orders focused on combating illicit drug production and organizations designated as terrorists or supporters of terrorism. The department also highlighted the growing use of cryptocurrency among organized crime groups in Latin America, including the Sinaloa Cartel and MS-13.