According to TechFlow, the German Federal Criminal Police Office (BKA) and the Frankfurt Attorney General's Office announced the closure of 47 cryptocurrency exchanges suspected of engaging in illegal activities such as money laundering.

The BKA said the exchanges deliberately failed to fulfil their obligations to carry out identity and background checks on their customers, known as know-your-customer (KYC) requirements. The shut-downs included Xchange.cash, 60cek.org and Baksman.com, one of which had been active since 2012, while others were only established last year.

During the investigation, the authorities have seized some customer and transaction data. Since the people involved may live outside of Germany, German authorities said it may be difficult to prosecute them, so they will focus on cracking down on the infrastructure that supports these illegal activities. Earlier this year, the BKA seized and sold $2.1 billion worth of Bitcoin.