A pair from New York has been accused with conspiring to launder $4.5 billion in stolen bitcoin funds. In what US Deputy Attorney General Lisa Monaco termed “the department’s greatest financial seizure ever,” law enforcement agents seized $3.6 billion of those funds. Ilya Lichtenstein, 34, and his wife, Heather Morgan, 31, are accused of attempting to launder money obtained from the massive Bitfinex breach in 2016.
Despite a string of heists from Crypto Currency sites, the arrests and money confiscation are a success for US law enforcement. In attacks on virtual currency exchanges in recent years, hackers have made off with hundreds of millions of dollars at a time. According to Justice Department officials, Lichtenstein and Morgan have been charged with conspiracy to launder money and conspiracy to defraud the United States, both of which carry a maximum sentence of 20 years in prison.
Colonial Pipeline paid a Russian-speaking gang $4.4 million in ransom last year, and US officials recovered $2.3 million of it last year. “This demonstrates that, even when sophisticated money laundering techniques are utilised, the indelible blockchain records frequently allow law enforcement to link illegal activities to individuals,” said Tom Robinson, co-founder of Crypto Currency research firm Elliptic, to CNN.