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The post <a href="https://cryptosnewss.com/justice-served-bitfinex-hacker-gets-5-years-for-10-5-billion-crypto-heist/" rel="noopener noreferrer nofollow">Justice Served: Bitfinex Hacker Gets 5 Years for $10.5 Billion Crypto Heist</a> appeared first on<a href="https://cryptosnewss.com/" rel="noopener noreferrer nofollow"> Cryptos Newss</a>.Ilya Lichtenstein, who pleaded guilty to his role in the 2016 Bitcoin hack of the cryptocurrency exchange Bitfinex, has been sentenced to five years in prison, as announced by the US Department of Justice (DOJ) on Thursday.Lichtenstein was sentenced for his involvement in the money laundering conspiracy for stealing approximately 120,000 Bitcoin from the exchange.<h2 id="header-0">Couple’s Bitcoin Hack And Laundering Operation Exposed</h2><a href="https://www.justice.gov/opa/pr/bitfinex-hacker-sentenced-money-laundering-conspiracy-involving-billions-stolen" rel="noopener noreferrer nofollow">Court documents</a> reveal that Lichtenstein utilized “advanced hacking tools” and techniques to breach Bitfinex’s network. Once inside, he fraudulently authorized over 2,000 transactions, transferring 119,754 Bitcoin to a <a href="https://cryptosnewss.com/category/cryptocurrency-news/" rel="noopener noreferrer nofollow">cryptocurrency</a> wallet that he controlled.To evade detection, Lichtenstein took measures to cover his tracks by deleting access credentials and log files from Bitfinex’s network that could have exposed his activities to law enforcement. Following the hack, he enlisted the assistance of his wife, Heather Morgan, to launder the stolen funds.The DOJ disclosed that the laundering scheme employed by Lichtenstein and Morgan was “particularly sophisticated.” They used fictitious identities to create online accounts, automated transactions with computer programs and deposited the stolen funds into various accounts associated with darknet markets and cryptocurrency exchanges.The couple also engaged in “chain hopping,” a practice where Bitcoin is converted into other cryptocurrencies to obscure its origin. Additionally, they utilized cryptocurrency mixing services to disguise the illicit funds further and even exchanged some stolen Bitcoin for gold coins.On August 3, 2023, both Lichtenstein and Morgan pleaded guilty to one count of conspiracy to commit money laundering. In addition to his prison sentence, Lichtenstein was ordered to serve three years of supervised release. Morgan’s sentencing is scheduled for November 18.<h2 id="header-1">Bitfinex Declared Primary Victim In BTC Theft</h2>Recently, the US District Court for the District of Columbia ruled favor of Bitfinex, affirming the exchange as the sole entity entitled to restitution for the nearly 120,000 BTC stolen in the hack eight years ago.This legal victory has prompted the US government to acknowledge Bitfinex as the primary victim of the incident while recognizing that “numerous individuals and groups” may have been impacted by the theft.Despite this acknowledgment, the government faces challenges identifying all affected account holders. To remedy this issue, plans are underway to leverage the Department of Justice’s website dedicated to “large cases.”The new site will reportedly provide “essential notices” and offer a streamlined process for individuals to submit claims regarding their financial losses.While the government does not categorize these individual account holders as “victims” under existing legal definitions, it aims to give them a platform to assert their claims using alternative notification methods.At the time of writing, the largest cryptocurrency on the market, Bitcoin, is trading at $88,520, up 16% every week, although it has pulled back in the past 48 hours from its all-time high of $93,250 hit on Wednesday.The post <a href="https://cryptosnewss.com/justice-served-bitfinex-hacker-gets-5-years-for-10-5-billion-crypto-heist/" rel="noopener noreferrer nofollow">Justice Served: Bitfinex Hacker Gets 5 Years for $10.5 Billion Crypto Heist</a> appeared first on <a href="https://cryptosnewss.com" rel="noopener noreferrer nofollow">Cryptos Newss</a>.

Justice Served: Bitfinex Hacker Gets 5 Years for $10.5 Billion Crypto Heist

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