Comando Vermelho (CV) and Primeiro Comando da Capital (PCC), considered the largest criminal groups in Brazil, have been designated as terrorist organizations by the U.S. government. The two groups have been involved in the use of digital currency as a money laundering tool for their drug trafficking activities in Brazil and around the world.
Key Takeaways:
Marco Rubio designated CV and PCC as global terrorists, with FTO status scheduled to begin on June 5.Impacting the crypto market, the PCC used bitcoin mining to launder funds across Brazil.Lobbied by Flavio Bolsonaro, the US will next enforce strict FTO rules against the 2 Brazilian gangs.The government of the United States, under the Trump Administration, is taking the designation of criminal organizations as terrorists to a new level, entering them into this class due to their drug trafficking activities.
The United States Department of State has also designated gangs like the Tren of Aragua and the Sinaloa Cartel, which have also been linked to digital assets money laundering and global drug trafficking activities, as Foreign Terrorist Organizations (FTOs).
