Multiple U.S. agencies jointly investigate Bitcoin money laundering case involving arms dealers

     Arms dealer Benjamin James Cance was arrested for illegally transporting weapons and laundering money using Bitcoin. The arms dealer possessed unregistered weapons and was suspected of using Bitcoin to facilitate transactions. Prosecutors said that the Bitcoin payment process was completed through a computer distributed public ledger, making it difficult to trace.

     This is not the first time that Bitcoin has been involved in illegal transactions. Previously, Bitcoin has been favored by the Silk Road website and the deep web black market.

     This week, District Judge Phillip Green said Benjamin James Cance had pleaded not guilty. The case is now set to go to trial, but a specific trial date has not yet been set.

     If convicted, Benjamin James Cance could face up to 20 years in prison , with a maximum sentence of 10 years for illegal possession of firearms and ammunition and money laundering. In addition, the Department of Homeland Security's Customs and Immigration Enforcement, the Internal Revenue Service, the U.S. Postal Inspection Service, the Federal Alcohol and Tobacco Tax and Trade Bureau, and the Bureau of Firearms and Explosives will investigate the case.

     According to prosecutor Patrick Miles, Benjamin James Cance was accused of forming an underground network to supply arms to illegal buyers abroad. In addition, he was also accused of using Bitcoin payments to launder money.

     The investigation revealed that Benjamin James Cance used the profits from illegal arms trading to purchase real estate. Assistant U.S. Attorney General Timothy VerHey was assigned to prosecute the case .

     The series of investigative procedures triggered by this case indicate that US authorities will continue to crack down on illegal Bitcoin transactions.