NY Couple to Forfeit Billions in Crypto and Cash in Plea Deal Over Bitfinex Hack Laundering Case

Ilya Lichtenstein and Heather Morgan, the New York-based mates implicated successful the alleged laundering of $4.5 cardinal successful bitcoin pilfered from the 2016 Bitfinex cyber-attack, person reached a plea bargain, arsenic revealed by caller tribunal records. The brace is scheduled to look earlier U.S. justice Colleen Kollar-Kotelly connected August 3, 2023, and volition beryllium mandated to surrender each cryptocurrency assets and funds they possessed anterior to their apprehension.

NY Duo Set to Surrender More Than $2.8B successful Historic Plea Deal

The Department of Justice reported the apprehension of Ilya Lichtenstein and Heather Morgan connected February 8, 2023, for purportedly conspiring to launder proceeds from the theft of 119,754 bitcoins from Bitfinex. Morgan was granted bail successful July 2022 with support to question lawful employment but her hubby remained incarcerated. Now, 1 twelvemonth aft Morgan’s merchandise connected definite terms, some individuals person struck a woody with the government.

Court documents filed connected July 20 and 21, 2023 bespeak that Lichtenstein and Morgan are owed to look earlier U.S. justice Colleen Kollar-Kotelly connected August 3. Furthermore, they indispensable relinquish astir 94,643.29837084 BTC valued astatine $2.8 cardinal based connected July 21 speech rates. Notably, the mates possessed much than conscionable BTC successful their crypto portfolio; these further integer currencies indispensable besides beryllium forfeited to the U.S. government.

Other coins to beryllium surrendered see 117,376.52651940 bitcoin currency (BCH) and an adjacent magnitude of bitcoinsv (BSV). The mates is besides required to relinquish 118,102.03258447 bitcoin golden (BTG), 29,016.98 monero (XMR), a postulation of USDC held crossed aggregate blockchains, .879544 curve dao (CRV) tokens, and 7,389,269.171 tether (USDT). The 7.3 cardinal USDT was kept successful decentralized concern (defi) liquidity pools for generating returns. Additionally, investigators recovered respective 1000 ETH and WETH stored astatine the couple’s Manhattan residence.

The authorities besides plans to confiscate assorted U.S. and Canadian golden coins held by the duo. Moreover, $228,266 from a JPMorgan Chase account, $2,460,375 taken from a Flagstar slope relationship antecedently linked to a Signature Bank relationship earlier the institution’s collapse, and astir $352,381.55 from a Wells Fargo slope relationship are each targeted for seizure arsenic recorded successful the tribunal documents filed connected July 20, 2023.

What bash you deliberation astir the mates entering a plea deal? Share your thoughts and opinions astir this taxable successful the comments conception below.