Arthur T Knackerbracket has processed the following story:
The operator of the longest-running money laundering machine in dark web history, Bitcoin Fog, has been sentenced to 12 years and six months in US prison.
Roman Sterlingov, 36, a Russian-Swedish national, was also ordered to repay more than half a billion dollars accrued from the cryptocurrency mixing service that he ran for a decade between 2011 and 2021.
Bitcoin Fog was assessed to have processed 1.2 million Bitcoin during that time, worth roughly $400 million at the time it was shuttered. Of this, Sterlingov was ordered to repay $395,563,025.39 in restitution, forfeit roughly $1.76 million in seized assets, and relinquish control of Bitcoin Fog's wallet containing more than $100 million in Bitcoin.
He was found guilty back in March, at which point he faced a maximum 50-year sentence. Prosecutors said the vast majority of Sterlingov's wealth came from the proceeds of crime in which he and his online service helped criminals hide from law enforcement.
The court heard that the crimes associated with this activity included the sale of drugs, computer misuse offenses, identity theft, and child sexual abuse material (CSAM).
"Roman Sterlingov laundered over $400 million in criminal proceeds through Bitcoin Fog, his cryptocurrency 'mixing' service that was open for business to criminals looking to hide dirty money," said Principal Deputy Assistant Attorney General Nicole M Argentieri, head of the Justice Department's Criminal Division.
[...] There are many cryptocurrency mixers available to criminals, so the downfall of Bitcoin Fog won't put a significant dent in their use. However, investigators will be pleased that a service as relied upon as Sterlingov's could be scuppered and distrust sown throughout the community of criminals who use them.
(Score: 2) by looorg on Thursday November 14, @05:14PM (2 children)
Sounds like a made up James Bond villain. I guess he'll just see it as 12years of interest on his bitcoin collection that will just gain in value as he is inside.
(Score: 1, Insightful) by Anonymous Coward on Thursday November 14, @07:48PM (1 child)
Federal pardon in 3...2...1...
(Score: 2, Informative) by realDonaldTrump on Saturday November 16, @08:37PM
The first day we get into office.
(Score: -1, Flamebait) by Anonymous Coward on Thursday November 14, @09:13PM (2 children)
"money laundering" for adding some privacy to a financial transaction? Non-crime bullshit charge. These feds should be sent to jail and the Boomers shouldn't be allowed on any jury. Both groups are disgusting.
(Score: 3, Touché) by DannyB on Friday November 15, @03:14PM (1 child)
Cash gives you some privacy.
Cryptocurrency is primarily useful for money laundering and wasting vast amounts of compute cycles and electricity. Which is why the US will standardize on it. It is grate for ransomware. The greatest. The very best ransomware uses it. We'll become the ransomware capital of the whirrled.
Apple gift cards is money laundering for (1) teens and (2) phone scams run from outside the country.
Stop asking "How stupid can you be?" Some people apparently take it as a challenge.
(Score: 0) by Anonymous Coward on Friday November 15, @04:55PM
It's useful for autocratic dictators to purchase NFTs from politicians in democratic countries. In case anyone ever needs to do that.