Former Olympic snowboarder-turned-alleged crime boss Ryan James Wedding was arrested in Mexico, the FBI announced Friday, in a case that prosecutors say links international drug trafficking with crypto-fueled money flows. Who is the suspect - Wedding, a Canadian who represented Canada at the 2002 Winter Olympics, was indicted by the U.S. Department of Justice in 2024 for allegedly running a cocaine trafficking network that moved drugs from Colombia through Mexico and into the United States. Prosecutors also allege that Wedding and his associates orchestrated multiple murders tied to the operation. - U.S. authorities say Wedding had been hiding in Mexico for more than a year before last night’s arrest. FBI Director Kash Patel said Wedding is now being transported to the United States to face charges. How crypto figures in the indictment - The DOJ and the U.S. Treasury Department have alleged that the operation relied heavily on the stablecoin Tether (USDT) to move and hide proceeds. According to the complaint, couriers accepted USDT payments for cocaine by scanning QR codes, a method investigators say enabled fast, cross-border settlement. - In late 2024, U.S. authorities seized one ton of cocaine, multiple firearms and about $3.2 million worth of crypto that investigators tied to the scheme. Sanctions and alleged money-laundering front - The Treasury subsequently sanctioned Wedding, several associates and related entities. Among those named was a Toronto jewelry business that Treasury officials say was used as a front to launder crypto proceeds from drug sales. Fugitive hunt and reward - Wedding had been listed among the FBI’s Ten Most Wanted. The FBI initially offered a $10 million reward for information leading to his arrest, later increasing that figure to $15 million. It is not yet clear whether tips from the bounty program played a role in his capture, and the FBI has not confirmed whether the reward will be paid. Reaction and next steps - Patel framed the arrest as a major win for law enforcement and pledged accountability for transnational crime, noting the FBI will bring Wedding to the U.S. to face trial. A spokesperson had not immediately responded to questions from Decrypt about whether the bounty directly contributed to the arrest. Why crypto-watchers should care - The case highlights ongoing law-enforcement scrutiny of how cryptocurrencies and stablecoins can be incorporated into large-scale illicit finance schemes. Allegations that QR-code payments in USDT were used to settle drug sales underscore continuing challenges for regulators and crypto firms to detect and deter misuse without disrupting legitimate uses. We’ll update as further court filings, extradition paperwork or statements from Tether, law enforcement, or defense counsel become available. Read more AI-generated news on: undefined/news

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