This study explores the involvement of central banks in developing rapid and effective measures to eliminate illicit currency, focusing on the challenge of money laundering generation, response and problem solving. A multifaceted strategy adopted by central banks to maintain financial integrity and financial system security is explained in this article within the context of the global and technologically advanced financial environment. This study addresses the historical development of criminal currency, including fraud, money laundering, and the emergence of crypto currencies as potential channels for illicit transactions. Drawing insights from case studies across a variety of industries, this article presents the strategic and technological innovations central bankers are making to clearly learn and eliminate illicit consequences. It details the evolution of technology, intellectual property, and statistical data across companies in order to show the central bank's ability to detect and pursue financial crimes. The study also examines the regulatory framework that gives central banks the power to block illicit funds, highlighting the need for policy changes and flexible exchange rates.