Ilya Lichtenstein Sentenced to Five Years for Laundering 120,000 Stolen Bitcoins from Bitfinex

A man from the United States, Ilya Lichtenstein, received a five-year prison sentence for laundering bitcoin stolen from the Hong Kong-based exchange Bitfinex in 2016.

Lichtenstein, along with his wife Heather Morgan, was involved in a scheme to wash around 120,000 bitcoins.

Federal prosecutors described Lichtenstein as the mastermind behind one of the largest thefts from a virtual currency exchange. After the theft, he and Morgan worked hard to turn the stolen cryptocurrency into usable funds.

During the sentencing, US District Judge Colleen Kollar-Kotelly pointed out that Lichtenstein's actions were “meticulously planned.” She stressed that these crimes have serious consequences.

Lichtenstein has been in custody since his arrest in February 2022. He will get credit for the two years and nine months he has already served. He expressed regret for using his skills for crime instead of helping society. He hopes to fight cybercrime when he gets out.