The post HashFlare Co-Founders Face Sentencing After Guilty Plea Amid Claims of Fraud and Deportation Orders appeared on BitcoinEthereumNews.com.

Defendant Charges Proposed Sentence Sergei Potapenko Wire Fraud 10 years Ivan Turogin Wire Fraud 10 years What is HashFlare? HashFlare is a cryptocurrency mining service co-founded by Sergei Potapenko and Ivan Turogin. It has been accused of operating as a Ponzi scheme, misleading investors about their returns. Why did the co-founders plead guilty? The co-founders pleaded guilty to conspiracy to commit wire fraud as part of a plea deal, acknowledging the fraudulent nature of their operations. Prosecutors highlighted that the defendants’ claims of no losses were contradicted by evidence. Frequently Asked Questions What is the potential sentence for the HashFlare co-founders? The government is seeking a 10-year prison sentence for both Sergei Potapenko and Ivan Turogin for their roles in the fraud. How much money did HashFlare return to users? HashFlare returned approximately $400 million in cryptocurrency to users, yet prosecutors argue this does not negate the fraud committed. Key Takeaways Guilty Plea: The HashFlare co-founders have pleaded guilty to wire fraud. Significant Losses: Prosecutors argue that victims suffered real financial harm. Sentencing Ahead: A 10-year sentence is being sought by the government. Conclusion The HashFlare case highlights significant issues in the cryptocurrency mining sector, as the co-founders face serious consequences for their actions. As the legal proceedings unfold, the impact on victims remains a focal point of discussion. The two men pleaded guilty to conspiracy to commit wire fraud in February and later received a letter directing them to “self-deport” from the United States. Two Estonian nationals who co-founded the cryptocurrency mining service HashFlare are scheduled to be sentenced on Thursday after pleading guilty to conspiracy to commit wire fraud as part of a plea deal with prosecutors. In a Monday filing, US prosecutors pushed back against many of the claims made by lawyers for HashFlare co-founders Sergei Potapenko…

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Filed under: News - @ August 13, 2025 12:23 am