Dark Web Drug Ring ‘American Fire Rabbit’ Dismantled: $7.2M in Crypto Seized
New York, NY – October 25, 2025 – In a significant blow to online criminal activity, Manhattan District Attorney Alvin Bragg announced the takedown of a sophisticated drug trafficking operation that utilized the dark web and cryptocurrency to distribute narcotics across the United States. The ring, known as “American Fire Rabbit” (FireBunnyUSA), allegedly shipped over 10,000 packages of cocaine, ecstasy, and ketamine, generating over $7.2 million in illicit profits. This case highlights the growing challenge law enforcement faces in combating crime facilitated by the anonymity of the dark web and the complexities of digital currencies. This is a breaking news story, and archyde.com is providing up-to-the-minute coverage.
From Flushing to California: The Rise and Fall of ‘American Fire Rabbit’
The operation, initially based in Flushing, New York, expanded to Upland, California in 2022, according to prosecutors. The central figure, 39-year-old Wu Nan, received a sentence of six years and six months in prison, plus five years of post-prison supervision. Several accomplices – Peng Peng Tang, Bowen Chen, and Zixiang Lin – also faced sentencing, along with Katie Montgomery, a US Postal Service employee who allegedly provided inside information to help the operation evade detection.
Law enforcement conducted a year-long undercover investigation, placing eleven orders through the dark web marketplace to gather evidence. Searches of Wu Nan’s apartment revealed both drugs and substantial cryptocurrency holdings. Montgomery’s role involved leveraging her position within the postal service to circumvent security measures, a tactic increasingly employed by dark web vendors.
The Cryptocurrency Trail: Bitcoin, Monero, and the Pursuit of Anonymity
The financial backbone of “American Fire Rabbit” relied heavily on cryptocurrency. Wu Nan and Tang Pengpeng amassed nearly $8 million in Bitcoin revenue. However, recognizing Bitcoin’s increasing traceability, they converted a portion of their earnings into Monero, a privacy-focused cryptocurrency designed to obscure transaction details. This conversion, followed by transfers to overseas exchanges and subsequent cash-outs in Chinese Yuan (RMB), demonstrates a sophisticated attempt to launder money and conceal the origin of funds.
Evergreen Insight: The use of privacy coins like Monero is a common tactic among criminals seeking to evade law enforcement. While not inherently illegal, these cryptocurrencies present significant challenges for investigators due to their enhanced anonymity features. Understanding the technical aspects of these currencies is crucial for effective financial crime investigation. The case also underscores the need for greater regulation and oversight of cryptocurrency exchanges to prevent the laundering of illicit funds.
Sentencing and Asset Forfeiture
The court handed down sentences ranging from one year to six years and six months for the four Chinese defendants. Montgomery, the postal employee, received one year of probation and was removed from her position. Crucially, the court ordered the forfeiture of approximately $7.2 million in criminal proceeds and cryptocurrency assets, representing a significant financial blow to the organization.
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This case serves as a stark reminder of the evolving landscape of criminal activity and the increasing reliance on technology to facilitate illicit operations. The successful dismantling of “American Fire Rabbit” is a testament to the dedication of law enforcement and the growing sophistication of investigative techniques in the digital age. As the dark web continues to evolve, so too must the strategies employed to combat the crimes that thrive within it. Stay tuned to archyde.com for continued coverage of this developing story and in-depth analysis of the intersection between technology and crime.
