A Mexican national has pleaded guilty to laundering $4 million worth of drug trafficking proceeds through cryptocurrency, according to the U.S. Department of Justice. Carlos Erick Vazquez Gonzalez, 48, worked with money brokers to collect drug profits from multiple cities across the country, earning $40,000 for his role in the operation.
Gonzalez secured $4 million in drug proceeds in a crypto wallet, then transferred the digital assets to obscure their origins before converting them back to U.S. dollars in Mexico. He returned the cash to a money broker who arranged the pickup of the drug proceeds in the United States.
Gonzalez faces a maximum penalty of 20 years in prison. His sentencing is scheduled for December 17th.
Broader Crypto Use by Mexican Drug Cartels
U.S. regulators have documented wider criminal use of cryptocurrency beyond money laundering. The Financial Crimes Enforcement Network (FinCEN), an agency within the U.S. Department of the Treasury, reported in 2024 that Mexican drug traffickers use digital assets to purchase fentanyl precursor chemicals, pill presses, die molds, and other manufacturing equipment from Chinese companies.
According to FinCEN, Mexican drug cartels rely on multiple cryptocurrencies for these activities, including Bitcoin, Ethereum, USDT stablecoin, and the privacy coin Monero.
