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The United States Department of Justice (DOJ) finalized the forfeiture of implicit $400 cardinal successful cryptocurrency and different assets tied to Helix, an aboriginal Bitcoin-era darknet mixing service, according to a connection released Thursday.
The assets were seized from Larry Harmon, the relation of Helix, which processed transactions betwixt 2014 and 2017. The crypto mixer was designed to obscure the root and destination of Bitcoin (BTC) that was linked to darknet markets.
The forfeiture follows a Jan. 21 bid by the US District Court for the District of Columbia, formally transferring ownership of the assets to the government. The last tribunal bid gives the authorities ineligible rubric to the seized integer assets, existent property and fiscal assets connected to Helix’s operations.
The improvement marks the ineligible endpoint of 1 of the astir important aboriginal Bitcoin mixer prosecutions to determination done US courts. The lawsuit illustrates however large crypto-related enforcement actions tin instrumentality years to afloat resolve, adjacent aft transgression behaviour has ended.
Helix processed hundreds of thousands of Bitcoin
According to the DOJ, Helix processed astatine slightest 354,468 Bitcoin during its operation, worthy astir $300 cardinal astatine the clip of the transactions. Prosecutors linked the enactment to darknet cause markets seeking to launder their amerciable proceeds.
Harmon besides operated Grams, a hunt motor designed to enactment large darknet markets progressive astatine the time.
Investigators said Helix's exertion programming interface allowed marketplaces to integrate the mixer straight into their Bitcoin withdrawal systems, enabling large-scale laundering activity.
The DOJ said investigators traced tens of millions from darknet markets to Helix.
Related: CertiK links $63M successful Tornado Cash deposits to $282M wallet compromise
Forfeiture finalized years aft sentencing
Harmon was arrested successful February 2020 and pleaded blameworthy successful August 2021 to conspiracy to perpetrate wealth laundering. He was sentenced successful November 2024 to 3 years successful prison.
At the time, the tribunal ordered Harmon to forfeit assets valued astatine much than $400 million. Last week’s bid finalized the forfeiture, transferring wide ineligible rubric to the US government.
As antecedently reported by Cointelegraph, his sentence was reduced aft cooperating with investigators, including testifying successful the Bitcoin Fog case against Roman Sterlingov.
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