Convicted Bitfinex hacker Ilya Lichtenstein has change into a key authorities witness in a jury trial involving cryptocurrency mixer Bitcoin Fog Roman, Bloomberg reported on February 27. Sterlingov’s alleged enterprise proprietor.
U.S. prosecutors arrested and charged Sterling Goff in April 2021, accusing the mixer of serving to launder 1.2 million Bitcoins (price $335 million on the time) in reference to criminality on the darkish internet.
He at the moment faces a jury trial on legal costs.
Prosecutors arrested Lichtenstein and his spouse, Heather Morgan, in February 2022. He was convicted of theft after pleading responsible in August 2023. The couple started conspiring in 2016 to steal $4.5 billion price of Bitcoin from cryptocurrency trade Bitfinex.
Legal turns into witness
Lichtenstein reportedly testified that he used Bitcoin fog about ten occasions to launder among the stolen funds. Nonetheless, he ultimately stopped utilizing it in favor of a greater mixer referred to as the Helix.
Authorities shut down the 2 blenders in 2021; Helix’s creator additionally pleaded responsible that yr.
Lichtenstein additionally testified that he didn’t use Bitcoin fog and different mixers in most of his cash laundering operations. As an alternative, he usually deposited cash into cryptocurrency trade accounts registered below the identification he bought on the darkish internet.
The Bitfinex hacker advised the jury that he had by no means straight communicated with Stringoff and didn’t know him. His testimony additionally revealed the explanations behind his resolution to assault Bitfinex. Lichtenstein mentioned:
“On the time, my enterprise was struggling and I used to be very exhausted.”
Stringoff faces a number of costs
Stringoff faces a number of costs, together with cash laundering, working an unlicensed cash transmission enterprise and conducting unlicensed cash transmission within the District of Columbia, in keeping with a press release from the U.S. Division of Justice.
Stringoff strongly denies the fees and claims his innocence. His legal professionals argued that there was no onerous proof – equivalent to eyewitness testimony or server logs – linking him to the cryptocurrency mixer.
As of February 27, the trial continues to be ongoing and the jury has but to succeed in a verdict.
