Question regarding illegal crypto exchange and laundromat

Id be happy with making less, I'm actually doing this mainly because I dislike the govt overreach.

Well, if you don't touch fiat at all, then morally, of course, you can tell everyone to fuck off without feeling guilty. Although Europe is trying to tighten the screws—and yeah, it’s technically a crime.

I’m not going to do a comparative risk analysis specifically for you. But in your setup, you don't even need to use the term "laundromat." You aren't actually laundering anything. You’re just swapping one crypto for another—that’s a basic function—and the best part is, you have no idea who your clients are or what kind of crypto it is.

And the difference compared to the drug trade is that you aren't tied to the offline world in any way.

These days money laundering and similar commercial crime is not really something the US and many big European countries care about, much less third world states.

I think this would much depend on the setup, as in in which country you're actually cashing out.

For the US right now it's really just a question whether you make enough money fast enough to donate big to Trumps ballroom, i guess.

Turns out that you can just buy a five minute meeting with Trumps associates for a million, "kiss the ring" and be pardoned with no duty to pay back illegal gains.

I think you stated you're in the EU, which is practically the same, but on a "we don't care and do not want to get out of the tea kitchen to do actual work"-basis on the side of the authorities.

Just set up some wash company that sell shit like game skins for crypto, funnel in your gains, pay your value added tax, pay your corporate tax, don't do your taxes too late and you're set.

Lithuania, the Netherlands, Ireland, Bulgaria and Romania and eastern Europe in general, Italy, Greece and Berlin, Germany should all be fine and all don't give a shit, as long as you don't make the people in tax offices and communal offices lift a finger.

Avaoid France and Spain and the nordic countries, though.

I will do as per your advice, thank you.

In what cases is it necessary to actually mix up and "launder" cryptos?

I’m not sure I understood the question.

Are you talking about the portion you collect—as your share—from the exchange fees?

I depends who uses it. There have been a few that have been linked directly to the North Koreans cashing out their shit so that's a problem. You'd want to take all OPSec precautions knowing your clientele might be a little shady.

Yes, but also the crypto i someone exchanges. For example someone buys bitcoins with monero.

Okay. Try visualizing the crypto world as two separate spheres: the AML sphere and the non-AML sphere. Your exchange—and presumably your clients—operate within the non-AML sphere. And yes, if you want to exchange that crypto for another type of asset without explaining its origin to your jurisdiction or paying taxes on it, that always turns into a complex undertaking. There are a lot of variables involved, and everyone handles it in their own way—some come up with their own methods, while others turn to specialists. Each approach has its own set of challenges.

You also anticipate an uneven flow of exchanges at your service, meaning you’ll need to replenish liquidity from external sources. Is that correct? Well, that’s another task, though a slightly simpler one. And yes, if the source of that liquidity passes through the AML sphere or involves offline channels, it’s best to cover your tracks.

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