3 hours ago
The US authorities ordered that the 94,000 Bitcoin (BTC) seized successful transportation with the 2016 Bitfinex hack beryllium returned to the speech arsenic portion of an in-kind restitution process.
The ruling stated that determination is nary unfortunate for the circumstantial offenses of conviction, resulting successful the instrumentality of each the assets seized from the “Bitfinex Hack Wallet.” Meanwhile, the remaining seized assets should beryllium taxable to the ongoing third-party forfeiture proceedings.
The determination aligns with a US authorities filing from Oct. 9, 2024, which stated that it lone identified Bitfinex arsenic a victim.
Less than 1 period later, the Department of Justice (DOJ) sought information connected imaginable victims successful summation to the exchange. However, nary 1 came forward, and the authorities issued the restitution order.
The restitution is related to the plea agreements of Ilya Lichtenstein and Heather Morgan, the mates astatine the halfway of the high-profile case. In August 2023, the brace pleaded blameworthy to conspiring to launder 119,754 BTC, valued astatine astir $71 cardinal astatine the clip of the hack.
In November, Lichtenstein was sentenced to 5 years successful prison, portion Morgan received an 18-month condemnation for their roles successful laundering the stolen crypto from Bitfinex.
Hack and restitution
In the 2016 breach of Bitfinex, hackers stole astir 120,000 BTC from the exchange. Consequently, the speech reduced each idiosyncratic balances by 36% and issued a token called BFX arsenic compensation.
BFX was issued astatine 1:1 parity with the US dollar, and users could sell, redeem, oregon speech it. By April 2017, each BFX tokens had been redeemed.
In July 2023, Bitfinex received $312,219.71 successful currency and 6917 Bitcoin Cash (BCH) from the US Department of Homeland Security. The speech volition usage the magnitude to redeem the Recovery Right Tokens (RRT) users hold.
Additionally, Bitfinex volition allocate up to 80% of immoderate remaining assets to UNUS SED LEO (LEO) token holders implicit 18 months.
The station Bitfinex to recoup stolen Bitcoin aft US restitution mandate appeared archetypal connected CryptoSlate.
English (US) 