As part of the Mt. Gox case, the American justice accused 2 Russian nationals of the theft of 647,000 BTC. They risk up to 20 years in prison on this case, but we will see that it looks even more complicated for one of the defendants.
2 Russian nationals are charged with the Mt. Gox hacks
In 2014, the Mt. Gox cryptocurrency exchange went bankrupt, revealing the hacks suffered by the platform since 2011. This bankruptcy caused a stir at the time, given that Mt. Gox was the leader in its market. Even today, creditors are still waiting for the return of their funds.
This weekend, US justice charged 2 Russian nationals for the theft of 647,000 BTC in 2011through unauthorized access to Mt. Gox wallets.
Reported to today’s price, this gives a monstrous sum, but it is worth recontextualizing this by recalling that in 2011, Bitcoin evolved between 0.29 and 32 dollars. On the other hand, the quantity of bitcoins in circulation was also much less, falling from 5.26 to 8 million over the past year.
The 2 defendants are Alexey Bilyuchenko, 43, and Aleksandr Verner, 29. Damian Williams, United States Attorney for the Southern District of New York, underscored the tenacity of investigators in the face of relatively unknown technology at the time:
“As alleged, Alexey Bilyuchenko and Aleksandr Verner believed they could circumvent the law by using sophisticated hacks to steal and launder massive amounts of cryptocurrency, a new technology at the time, but the unsealed charges demonstrate our ability to prosecute. these suspected criminals tenaciously, no matter how complex their plans, until they are brought to justice. »
👉 How to secure your cryptocurrencies outside of centralized exchanges?
The best way to secure your cryptocurrencies?
? Buy, trade, grow and manage over 5,500 cryptos
A person already known for his criminal activities
For his part, Aleksandr Verner faces up to a maximum of 20 years in prison for conspiracy to launder money. For Alexey Bilyuchenko, it looks even more complicatedas Vinnik is also implicated in the BTC-e case alongside Alexander Vinnik, as Assistant Attorney General Kenneth A. Polite, Jr. pointed out:
“As alleged in the indictments, beginning in 2011, Bilyuchenko and Verner stole a massive amount of cryptocurrency from Mt. Gox, contributing to the exchange’s ultimate insolvency. Armed with ill-gotten gains from Mt. Gox, Bilyuchenko then allegedly helped set up the notorious virtual currency exchange BTC-e, which laundered funds for cybercriminals around the world. »
So, in addition to facing the same charge as Aleksandr Verner, the person concerned also faces a maximum of 25 additional years in prison for the same reason about BTC-e, as well as operating an unlicensed money services business.
Indeed, the BTC-e exchange was closed in 2017, after having notably facilitated the laundering of illicit funds, including those of Mt. Gox. Alexey Bilyuchencko would have worked alongside Alexander Vinnik between 2011 and 2017.
Alongside these accusations, the fact that the Mt. Gox case, which is nearly 10 years old now, is still unresolved, suggests that resolving recent ecosystem scandals like FTX could, too, take time.
👉 Also in the News — 3 Venture Capital Firms Sue Curve Founder for Manipulation and Deception
Our service dedicated to cryptocurrency investors. Get real-time analytics and optimize your crypto portfolio.
Source: US Department of Justice
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
I timidly discovered the world of blockchain at the end of 2018 during my quest for financial freedom. Initially invested moderately, it was only two years later that I took the gamble of betting everything on the movement that was taking shape then. I then dedicate 2021 to training myself better to acquire more knowledge and seriousness. As I often like to say: I still have a billion things to learn. And what I do know, I want to share with you.
Vincent Mayor
710 items
