Ilya Lichtenstein and Heather Morgan were arrested in New York and accused of laundering a record $4.5 billion dollars worth of stolen cryptocurrency. In the 24 hours since, the cybersecurity world has ruthlessly mocked their operational security screwups.
—both real transactions and artificially generated ones—and concealing their value. Yet somehow, the IRS says it identified Lichtenstein and Morgan by tracing both those branches of funds to a collection of cryptocurrency exchange accounts in their names, as well as in the names of three companies they owned, known as Demandpath, Endpass, and Salesfolk.
In July 2017, however—six months after the IRS says Lichtenstein moved a portion of the Bitfinex coins into AlphaBay wallets—the FBI, DEA, and Thai police. That server seizure isn't mentioned in the IRS's statement of facts.
A chart from the IRS’s investigation includes a connection between a Bitcoin wallet that allegedly belonged to Lichtenstein and two accounts funded with the privacy-focused cryptocurrency Monero at a virtual currency exchange, labelled VCE 4. This link seems to show IRS might have traced Monero, an unprecedented capability.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Justice Dept. announces $3.6B crypto seizure, 2 arrestsWASHINGTON (AP) — The Justice Department announced Tuesday its largest-ever financial seizure — more than $3.5 billion — and the arrests of a New York couple accused of conspiring to launder billions of dollars in cryptocurrency stolen from the 2016 hack of a virtual currency exchange.
Read more »
Feds seize $3.6B in stolen Bitcoin, arrest NYC couple in DOJ's largest crypto bust to dateFederal authorities seized $3.6 million in stolen Bitcoin and arrested a couple in Manhattan Tuesday in what’s considered the Justice Department’s largest financial cryptocurrency bust to date.
Read more »
Justice Dept. announces $3.6B cryptocurrency seizure, 2 arrestsA New York couple were arrested Tuesday on charges of conspiring to launder $4.5 billion in cryptocurrency that was stolen in a 2016 hack of a virtual currency exchange, the Justice Department said.
Read more »
Crypto Analytics Tools 'Wave of The Future, Dude,' Judge Quotes Cult Film in $3.6B Bitcoin Seizure CaseNEW: A newly unsealed federal court opinion emphasized the role blockchain analytics played in helping law enforcement agents find and confiscate some 94,000 bitcoin stolen from Bitfinex. realDannyNelson reports
Read more »
Rapping FinanceTok Influencer and Husband Accused of Conspiracy to Launder $4.5 Billion in CryptoRapping FinanceTok Influencer and Husband Accused of Laundering $4.5 Billion in Crypto
Read more »
$3.6B in Bitcoin Linked to 2016 Bitfinex Hack Recovered | CoinMarketCap🚨 BREAKING NEWS $3.6 billion in Bitcoin linked to the 2016 Bitfinex hack has been recovered ⚠️ It's the biggest financial seizure in the U.S. Justice Department's history 🇺🇸 Two people have been arrested on suspicion of conspiracy to launder crypto 👇
Read more »