Crypto Investigator Alleges Robinhood’s Involvement in Illicit Fund Move

• TruthLabs raised suspicions about Robinhood’s involvement in facilitating illicit crypto funds.
• The detective cited a $544 million move from FTX buyer funds to Robinhood.
• Additionally, the connection between Robinhood’s UK enlargement plans and FTX’s UK deal was scrutinized.

TruthLabs, a distinguished crypto sleuth, has raised suspicions concerning the potential position of Robinhood, a U.S.-based clearing home, in facilitating the motion and acceptance of illicit cryptocurrency funds. 

Citing Sunil, an activist for FTX collectors, TruthLabs highlighted a regarding move of $544 million from FTX buyer funds by way of numerous channels, finally touchdown in Robinhood.

The investigation dates again to early 2023 when a pockets linked to Robinhood’s public alternate deal with acquired over $400 million in Ethereum (ETH) from American alternate Gemini. TruthLabs famous the influx got here a month after Robinhood launched its crypto pockets to thousands and thousands of customers. 

In keeping with the investigator, the identical pockets deal with transferred roughly $140 million to an deal with related to the entity that exploited the Bitmart Change.

Moreover, TruthLabs highlighted Robinhood’s historical past when the agency confronted monetary turbulence and regulatory scrutiny in early 2020. The difficulty resulted in a document $57 million superb by FINRA in June 2021.

Furthermore, the investigator cited that in August 2022, Robinhood’s cryptocurrency division confronted a $30 million penalty from the New York State Division of Monetary Companies for alleged anti-money laundering and cybersecurity laws violations.

Moreover, TruthLabs highlighted FTX’s involvement with AMC, the place the platform was engaged in printing and buying and selling leveraged AMC tokens on the blockchain. The investigator additional disclosed that on Could 1, 2023, Robinhood erroneously utilized a chapter tag to AMC inventory on their platform.

In addition to, current revelations from Sunil have make clear FTX’s murky dealings. Particularly, FTX’s current sale of a UK enterprise for $33 million prompted questions in regards to the connection between Robinhood’s UK enlargement plans and FTX’s UK deal.