A December 27 report by a pseudonymous on-chain investigator, Specter, alleges that Tate’s digital asset activities extend beyond speculative trading into potential money laundering.
The analysis claims that specific blockchain addresses allegedly linked to Tate received approximately $1.2 million. The funds reportedly came from wallets named in a Texas lawsuit tied to a $5 million investment scam.
Tate Wallets Allegedly Received Funds From $5 Million US Scam
According to Specter, court documents from a March 2025 filing in Texas identify a network of wallets used to launder money stolen from victims between January 2023 and February 2025.
Specter’s analysis shows that one of these defendant wallets transferred $1.2 million to the address “0x9B67.”
The investigator linked “0x9B67” to Tate through a series of on-chain interactions, including a direct $4 transfer on December 14, 2024, from Tate’s known public address to the suspect crypto wallet.
Additionally, the wallet’s trading patterns on the decentralized exchange Hyperliquid mirror Tate’s public disclosure of his trading activity.
While Tate is not currently a named defendant in the Texas fraud case, victim funds have been identified in wallets allegedly linked to him. That connection could expose him to potential US civil forfeiture actions.
This link to a US-based fraud investigation could complicate his existing legal defense in Europe by triggering cross-border cooperation between the DOJ and Romanian authorities.
Railgun Transfers
Meanwhile, the report further details significant capital flows into Railgun, a privacy pool designed to anonymize transaction history.
Over a two-year period, Tate-linked entities allegedly deposited $30 million into the crypto protocol. The majority of these funds originated from Radom Pay, a crypto payment processor.
Compliance officers typically flag high-volume use of legal privacy tools by individuals under active indictment as a potential layering technique meant to obscure the source of funds.
Specter’s investigation also suggests Tate manipulated market sentiment by fabricating public statements. The analyst highlighted a June 2024 incident where Tate shared a screenshot claiming he had rejected an offer to promote a token.
However, Specter said blockchain data shows the wallet in the screenshot was funded by Tate. He added that the activity indicates Tate also controlled the wallet, despite claims it belonged to a third-party promoter.
This suggests he staged the “rejection” to bolster his reputation for integrity while covertly managing the assets.
As of press time, Tate has not responded to these allegations.
