The FBI arrests a man accused of running a $ 335,000,000 bitcoin money laundering service

FBI agents have arrested Roman Sterlingov, the alleged main operator of Bitcoin Fog, a website that offers Bitcoin (BTC) “tumbler” or “mixer” services to anonymize crypto transactions.

Sterlingov is now jailed in Los Angeles on three charges – laundering money instruments, operating an unlicensed money transfer business, and unlicensed money transfer.

He was arrested after an undercover operation that began in 2019. Authorities said they tracked him by analyzing his Bitcoin transactions, financial records, Internet service provider records, email records, and other information.

According to a Legal statement Bitcoin Fog was filed by the Internal Revenue Service (IRS) and has laundered more than 1.2 million BTC since October 2011 – about $ 335,809,383 at the time of transactions.

The IRS estimates that Sterlingov would have earned approximately $ 8 million in commissions if he had paid administration fees between 2% and 2.5% for each deposit at the time of the transactions.

“Because of the significant increase in value of Bitcoin over the course of the year Bitcoin fogOperation – from a low of about $ 2 shortly thereafter Bitcoin fog launched in fall 2011 to a current value of $ 50,000 – Sterlingov was able to significantly appreciate its profits held in Bitcoin.

The current value of Bitcoin fog Cluster – including customer funds in SterlingovControl and SterlingovTheir own money is almost $ 70 million. ”

Don’t Miss A Beat – Subscribe to send crypto email notifications straight to your inbox

Follow us on Twitter, Facebook and Telegram

Surf the Daily Hodl Mix

Check the latest headlines

Disclaimer: Opinions expressed on The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrency, or digital assets. Please note that your transfers and trades are made at your own risk and that any losses incurred are your responsibility. The Daily Hodl does not recommend buying or selling any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured image: Shutterstock / Gonin

Comments are closed.