Summary

Heather 'Razzlekhan' Morgan was sentenced to 18 months in prison for her involvement in laundering profits from the 2016 Bitfinex hack, which stole nearly 120,000 bitcoins, valued at approximately $9 billion today.

Sentence Details

Morgan's sentencing comes a week after her husband, Ilya 'Dutch' Lichtenstein, received a five-year prison sentence for orchestrating the hack. The couple managed to launder around 20% of the stolen bitcoin.

Morgan's Statement

During her hearing, Morgan expressed remorse, stating, “I am extremely sorry and deeply regret the choices I made. I used my time and energy to do harm instead of good, and I’m ashamed of that.”

Judge's Comments

Judge Colleen Kollar-Kotelly described Morgan's involvement as deliberate, emphasizing the premeditated nature of their crimes.

Couples Arrest

Morgan and Lichtenstein were arrested in February 2022, with Lichtenstein admitting to planning the hack while Morgan pleaded guilty to money laundering conspiracy and conspiracy to defraud the U.S. Government.

Methods Used

They allegedly utilized sophisticated methods to obscure the origins of the laundered funds, involving darknet markets, 'chain hopping', and using cryptocurrency mixing services to cover their tracks.