US DOJ seeking statements about Bitfinex hack despite lack of formal victims

Share This Post

The US Department of Justice (DOJ) has launched a website to collect information from individuals affected by the 2016 Bitfinex hack, according to a Nov. 7 statement.

The DOJ announced it was inviting statements from those impacted by the hack, including affected Bitfinex account holders. This initiative aims to gather details on how the hack affected these individuals.

Interestingly, the DOJ clarified that, under the Crime Victims’ Rights Act (CVRA), it does not recognize any “victims” related to the offenses in this case. However, the department stated that it was cautiously proceeding with the initiative.

The DOJ said it is seeking statements from anyone potentially harmed by the defendant’s actions, including details relevant to the upcoming sentencing of those involved.

In an Oct. 8 court filing, the DOJ identified Bitfinex as the only party eligible for restitution. It also noted that it is unaware of any other individuals who meet the CVRA’s definition of a victim in this case.

Bitfinex hack

The 2016 hack occurred when Ilya Lichtenstein reportedly accessed Bitfinex’s systems and stole approximately 120,000 Bitcoin, valued at $72 million at the time. With the increase in Bitcoin’s value, this amount now totals around $9.2 billion.

After the theft, Lichtenstein and his wife, Heather Morgan, who goes by the alias “Razzlekhan,” used several complex methods to launder the funds. Their tactics involved using multiple transaction layers, crypto mixers, non-compliant exchanges, and darknet markets. The couple also moved proceeds of the hack through bank accounts in and outside the US.

Last month, prosecutors recommended an 18-month prison sentence for Morgan for her role in money laundering and a five-year sentence for Lichtenstein. Morgan is seeking a sentence of time served to avoid further imprisonment.

Lichtenstein is scheduled for sentencing on Nov. 14, followed by Morgan’s sentencing the next day.

The post US DOJ seeking statements about Bitfinex hack despite lack of formal victims appeared first on CryptoSlate.

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Notcoin (NOT) Gears Up For Major Rally – Is $0.12 Still Within Reach?

Notcoin (NOT) has recently been in an impressive price form rising by 1971% in the past day to reach a local peak of $00085 While the momentum on the Telegram-based cryptocurrency has cooled in the

French Users Reportedly Blocked From Polymarket Predictions Market

Social media reports suggest that Polymarket has blocked French users and warned against attempts to circumvent the block According to one social media post, Polymarket now includes France-based

$100K Bitcoin Is Only The Beginning, VanEck Targets $180K

Recent gains in Bitcoin are owed in part to changes in the political environment, particularly in the US Incoming US President Donald Trump is backing cryptocurrencies, sparking renewed market

Time To Sell XRP? Whale Dump $27.2 Million Worth of Tokens

The post Time To Sell XRP Whale Dump $272 Million Worth of Tokens appeared first on Coinpedia Fintech News Ripple’s native token XRP has gained massive attention from crypto enthusiasts due to its

$500M WBTC Burned in the Wake of Coinbase’s Delisting Move

Five days ago, Coinbase announced plans to remove wrapped bitcoin (WBTC) from its platform on Dec 19, 2024 In the days following the announcement, the WBTC supply has contracted Wrapped

Bitcoin ETFs Set New Records in Brazil

The recent bitcoin price hike that has driven exchange rates close to $100,000 per token has also fueled the demand for and prices of Bitcoin exchange-traded fund (ETF) shares in the Brazilian stock