Bitcoin Fog Founder Sentenced to 12.5 Years as U.S. Crackdown on Crypto Mixers Intensifies
Roman Sterlingov, the founder of Bitcoin Fog, the darknet's oldest cryptocurrency mixing service, has been sentenced to 12.5 years in prison.
This follows his March conviction on multiple charges, including money laundering and operating an unlicensed money-transmitting business. Although the U.S. government initially sought a sentence of 20 to 30 years, the court handed down a lesser term. Bitcoin Fog, which facilitated transactions for criminals to conceal illicit funds, processed over 1.2 million Bitcoin, worth around $400 million at the time.
The U.S. Department of Justice (DOJ) described Bitcoin Fog as a key player in the criminal underworld, emphasizing its role in hiding proceeds of illegal activities. As part of his sentence, Sterlingov was also ordered to forfeit nearly $400 million in assets, including approximately $1.76 million in seized crypto and funds. Throughout the trial, Sterlingov maintained that he was merely a user of the platform, not its operator. However, the court ruled otherwise.
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The case has sparked backlash, with some commentators arguing that it represents a broader assault on financial privacy, pointing out the stark contrast between the government’s aggressive pursuit of mixers like Bitcoin Fog and the unexplained billions Sterlingov allegedly amassed.
This sentencing comes amid growing scrutiny of crypto mixers, with U.S. authorities continuing their crackdown on individuals involved in these services. Similar charges have been filed against founders of other high-profile mixers, including Tornado Cash and Samourai Wallet. The ongoing legal battles signal the government’s intensified focus on cryptocurrency-related crime and its commitment to dismantling privacy-enhancing services in the sector.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
