They were accused of “laundering the proceeds” of 119,754 Bitcoins hacked from trading platform Bitfinex via over 2,000 transactions A New York husba
They were accused of “laundering the proceeds” of 119,754 Bitcoins hacked from trading platform Bitfinex via over 2,000 transactions
A New York husband and wife have been charged with conspiracy to defraud the US and laundering £3.9bn in stolen Bitcoin in what is one of the biggest alleged crypto frauds yet.
Ilya Lichtenstein and Heather Morgan, who is also known as rapper ‘Razzlekhan,’ used fake accounts and identities to convert Bitcoin into other digital currencies via “darknet markets” and “chain hopping.”
In 2016, they stole 120,000 Bitcoins, then worth £52mln, but the value has since soared to £3.86bn at today’s price of £32,200.
They were accused of “laundering the proceeds” of 119,754 Bitcoins hacked from trading platform Bitfinex via over 2,000 transactions.
The currency went into a digital wallet under Lichtenstein’s control where 25,000 Bitcoins were transferred into both their accounts, the Standard said.
They spent millions on non-fungible tokens (NFTs), gold, and Walmart gift cards.
Around 94,000 of the Bitcoins have since been recovered.
The couple was detained in Manhattan by the US Department of Justice on Tuesday and faced a federal judge on Wednesday.
“In a futile effort to maintain digital anonymity, the defendants laundered stolen funds through a labyrinth of cryptocurrency transactions,” Lisa Monaco, Deputy Attorney General, said when confirming the charges.
Morgan has previously described herself as an investor, surrealist artist, fashion designer, and “badass CEO,” and labeling herself the “Crocodile of Wall Street” in a song.
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