Users and supporters of the Crypto Tradeogre platform criticized the police crisis mounted by the Canadian Royal (RCM) on the website and its crypto, accusing the agency of taking funds from innocent users for the actions of a few.
The RCMP said on Thursday that it had made “the largest cryptocurrency crisis in Canadian history”, entering more than $ 56 million Canadian dollars (40.6 million dollars) in Tradeogre, an exchange of centralized crypto known for not knowing your customer checks (KYC).
The agency said Tradeogre had failed to register with the Financial Intelligence Agency in Canada and that it was used for criminal money laundering.
The announcement of the RCMP is the first official update of the exchange, which has been offline and silent for months, which has led many users to renew the advocacy so that others self-check their assets.
The RCMP says that Tradeogre Takedown is a first
The RCMP said that its tradeogre withdrawn was “the first time that an cryptocurrency exchange platform was dismantled by Canadian police.”
He said his investigation team on money laundering had started studying the trade in June 2024 on Europol council. The RCMP alleged that the platform had failed to register as a monetary services company with financial transactions and analysis Center of Canada (FINTRAC) reports and has not identified its users.
“Investigators have reasons to believe that the majority of transgrés on Tradeogre funds came from criminal sources,” said the RCMP.
“The main attraction of this type of platform, which does not ask users to identify themselves, is that it hides the source of the funds,” he added. “This is a current tactic used by criminal organizations that whiten money.”
But many other exchanges, both centralized and to a greater decentralized extent, do not have KYC checks to use some or all their features, but can implement other checks, such as Blockchain Analytics, to stop the harmful use of the platform.
The RCMP said that its survey was underway and that it analyzes the transaction data of the platform, that it could follow the costs.
The RCMP did not immediately respond to a request for comments outside the hours.
Privacy is not a crime, according to Crypto experts
Tradeogre has gained popularity to register niche cryptocurrencies, of low value and focused on privacy which generally did not make the cutting of larger platforms.
Tradeogre users and supporters have criticized the GRC’s seizure of the platform cryptocurrency, arguing that many of those who used the service were not criminals and that the use of a non KYC exchange is not a crime in Canada.
“Sorry to contradict your` `beliefs ”, but the last time I checked my friends and I am not criminals,” Taylor Monahan told Metamask’s security in response to the RCMP announcement.
“Looking forward to seeing the evidence, and for you to resort to all the innocent parts of which you have stolen money without notification and without regular procedure.”
Reuben Yap, former lawyer and co-founder of the crypto focused on privacy, questioned what the RCMP would do with the crypto from legitimate sources.
“Are you just saying that you can lose everyone’s sales because we don’t have KYC? This is the theft of many innocent users,” he added.
The rage reported on Tuesday a possible withdrawal from the Tradeogre RCMP, because a Bitcoin transaction linked to Tradeogre has been integrated into the message “The cryptographic assets controlled by the RCMP”.
Crypto users had monitored the signs of the life of the exchange after the last publication of his X account in May, and his site was deleted on July 30.
The recovery of assets could be difficult and costly
Innocent Tradeogre users will probably have a way to claim that their funds seized by the RCMP, but the Firo YAP warned that it was “probably a long and difficult process with many ways to make a mistake”.
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He said that the US government seizure of the Crypto BTC-E exchange in 2017 was an example of how such claims could be “complex in a procedural manner”, with strict deadlines and simple errors that could “kill the complaint”.
Yap added that the burden of the evidence necessary to recover the assets “was immense”, the people affected had to give “in -depth documentation and out of the chain” to prove their assets.
“There is also the question of asset assessment,” he added, noting that the government position, in most cases, is to enhance the assets as they were at the time of the crisis.
If the value of the crypto increases, YAP said that “even successful applicants would only recover a fraction of the subsequent value of their property”.
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