DOJ Indicts Eight Chinese Firms and Eight Nationals for Trafficking Fentanyl Precursors Using Cryptocurrency

On October 24, the U.S. Department of Justice announced the indictment of eight China-based companies and eight Chinese nationals for federal crimes linked to the trafficking of synthetic opioids and fentanyl precursors. The indictments reveal that these firms used cryptocurrency to obscure profits from illegal chemical sales. According to the DOJ, the companies and their employees misled border control agents and mislabeled shipments of chemicals used in fentanyl production. The unsealed indictments highlight the intersection of cryptocurrency and illegal drug trade, particularly as small industrial facilities in Kentucky had previously engaged in crypto mining partnerships with these Chinese firms during a period of rising bitcoin values.