Bitfinex hacker receives five-year sentence for record-breaking crypto heist

The hacker down 1 of the biggest-ever cryptocurrency heists volition service 5 years successful situation for conspiring with his woman to launder billions successful stolen Bitcoin. Ilya “Dutch” Lichtenstein was sentenced successful Washington national tribunal Thursday aft helium admitted to hacking the Bitfinex crypto speech successful 2016 and stealing astir 120,000 Bitcoin tokens.

Lichtenstein and his woman Heather Morgan were arrested successful 2022, and successful August past twelvemonth both pled blameworthy to conspiring to perpetrate wealth laundering. The stolen cryptocurrency, worthy astir $71 cardinal astatine the clip of the theft, had soared successful worth to astir $4.5 cardinal by the clip Lichtenstein and Morgan were arrested. Valued astatine today’s prices, the stolen funds would beryllium worthy an adjacent much staggering sum of implicit $10 billion.

According to the US Department of Justice, Lichtenstein and Morgan “employed galore blase laundering techniques” to fell the stolen funds, including utilizing fictitious identities, converting the Bitcoin into different cryptocurrencies, buying gold, and depositing and withdrawing the proceeds astatine assorted darknet markets and cryptocurrency exchanges. 

Lichtenstein’s five-year condemnation is notably little than the maximum 20-year punishment for conspiracy to perpetrate wealth laundering. Morgan, besides known by her online rap persona “Razzlekhan,” is owed to beryllium sentenced connected November 18th, and is expected to look 18 months successful situation for her portion successful the heist.