Bitfinex Hackers Plead Guilty to Stealing Billions in Crypto

Ilya Lichtenstein and Heather Morgan have pleaded guilty to conspiracy to commit money laundering following Bitfinex multi-billion dollar hack.

Heather Morgan aka Razzlekhan, the greatest rapper of all time, posing in a jail with a stack of Bitcoins.
Created by Gabor Kovacs from DailyCoin
  • A New York couple has pleaded guilty in the Bitfinex case.
  • The couple admitted to money laundering conspiracies.
  • The two face possible jail terms if convicted. 

Married couple Ilya Lichtenstein and social media influencer Heather Morgan have pleaded guilty to money laundering conspiracies in relation to the hack and subsequent theft of around 120,000 BTC from Bitfinex on August 2, 2016.

Official court documents now show that Lichtenstein leveraged advanced hacking tools and techniques to access Bitfinex’s network and fraudulently authorize over 2,000 transactions. He also deleted log files and access credentials to cover his tracks before enlisting Morgan to help launder the stolen funds.

The Looming Jail Terms

The couple admitted to employing various advanced money laundering techniques, including chain-hopping with anonymity-enhanced crypto (AEC) and obfuscating transaction trails via darknet market deposits and withdrawals.


Lichtenstein faces a possible 20-year jail term after pleading guilty to conspiracy to commit money laundering. Heather Morgan pleaded guilty to two counts, money laundering and conspiracy to defraud the U.S. government, exposing her to a maximum sentence of five years if convicted. 

U.S. authorities seized approximately 95,000 of the stolen BTC from the first defendant’s crypto wallets before arresting the duo in February 2022. At the time of their arrest, the retrieved BTC had a value of approximately $3.6 billion.

Read how hackers changed the update price function in a smart contract and made away with millions of dollars: 


Lending Protocol BonqDAO Loses $120 Million to Hackers

You might also be interested in how attackers exploited a swap feature to steal $1 million: 

BitKeep Wallet Suffers $1M Hack After Attacker Exploits Swap Feature

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Brian Danga

Brian Danga, a Kenyan crypto reporter, is dedicated to delivering breaking news and updates from the cryptocurrency world. With a background as a Web3 writer and project manager, he recognizes the importance of unbiased reporting. Holding an LLB degree from the University of Nairobi, Brian's analytical skills contribute to his accurate news reporting. His personal interests include cooking, watching documentaries, reading, and engaging in intellectual discussions.