The DOJ charged two individuals with conspiracy to commit money laundering and conspiracy to defraud the United States, related to cryptocurrency stolen during a 2016 hack of Bitfinex, a virtual currency exchange.
The criminal complaint against the two individuals alleges that they utilized various "sophisticated laundering techniques," including: (i) utilizing fictitious identities for online accounts; (ii) using computer programs to automate transactions; (iii) depositing the stolen crypto funds into "accounts at a variety of virtual currency exchanges and darknet markets and then withdrawing the funds"; (iv) converting bitcoin into other cryptocurrencies by using a practice called "chain hopping"; and (v) using "U.S.-based business accounts to legitimize their banking activity."
The DOJ stated that it seized over $3.6 billion in cryptocurrency linked to the hack.
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