The post Crypto mixer Bitcoin Fog founder faces 12.5 years for $400M laundering scheme appeared on BitcoinEthereumNews.com.

The operator of the crypto mixing tool Bitcoin Fog, Roman Sterlingov, has been sentenced to 12 and a half years for laundering $400 million in crypto for criminals. The sentencing follows a jury trial in March that found Sterlingov guilty of multiple charges, including money laundering and operating an unregistered money-transmitting business.  US District Judge for Washington Randolph Moss passed the sentencing while also ordering the forfeiture of $395 million worth of Sterlingov’s assets, including $103 million worth of Bitcoin. According to the US Department of Justice, Bitcoin Fog is the longest-running mixer, having been around since 2011. The DOJ claims that Sterlingov, a Russian and Swiss national, was involved in Bitcoin Fog’s operations. It also said most of the 1.2 million BTC laundered through the mixer between 2011 and 2021 came from darknet marketplaces. Deputy Attorney General Lisa Monaco said the sentencing highlights the agency’s desire to crack down on criminal networks that allow bad actors to flourish. She said: “Roman Sterlingov ran the longest-running bitcoin money laundering service on the darknet, and today he paid the price. In the deepest corners of the internet, he provided a home for criminals of all stripes, from drug traffickers to identity thieves, to store hundreds of millions of dollars in illicit proceeds.” Meanwhile, FBI Assistant Director David Sundberg noted that the sentencing is a warning against all cybercrimes. He added that the FBI will deploy all necessary tools and use all its partnerships to disrupt cybercriminal networks and bring those facilitating criminal activities to justice. The investigation into Sterlingov also involved the Internal Revenue Service (IRS). Sterlingov’s sentence puts Chainalysis tools in the spotlight Despite the seemingly harsh sentence, Sterlingov escaped the maximum penalty the prosecutor requested. The prosecutor had asked for a 30-year sentence, noting the magnitude of the crime…

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Filed under: News - @ November 9, 2024 11:08 am