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Learning & News => News related to Crypto => Topic started by: TomPluz on November 14, 2024, 03:29:16 AM

Title: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: TomPluz on November 14, 2024, 03:29:16 AM


(https://bitcoinnews.com/wp-content/uploads/2024/11/Bitcoin_Fog_Founder_12-Years_in_Prison.jpg.webp)


"Bitcoin Fog founder Roman Sterlingov (https://bitcoinnews.com/legal/bitcoin-fog-founder-12-years-prison/) was sentenced to 12.5 years for laundering $400M in illicit funds; assets were forfeited by U.S. authorities."

The DOJ is successful in prosecuting the founder of Bitcoin Fog, a bitcoin mixing service, for laundering money worth around $400 million operating for almost 10 years in the market.

As usual, DOJ made it clear that "the laundered bitcoin came from darknet marketplaces and was tied to illegal narcotics, computer crimes, identity theft, and child sexual abuse material."

What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?




Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: bitterguy28 on November 14, 2024, 06:42:21 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM


(https://bitcoinnews.com/wp-content/uploads/2024/11/Bitcoin_Fog_Founder_12-Years_in_Prison.jpg.webp)

What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
i think his punishment is just well deserved not all mixing services dabble with illegal activities not all who seek out mixing services use it with ill intention but this one specifically did and there is proof enough to convict them as long as a mixing platform is not found to be doing these then i think they will be fine

i am just worried because this will definitely be used to further fuel the assumptions about mixing services which is nothing but a huge generalization of the entire services and as per trump i am not sure about how he feels with mixing services so i do not know if he will be less or more strict during his term
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: KingsDen on November 14, 2024, 07:21:34 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM
What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
If he is truly guilty of the charges against him, then he should face the law. His punishment should serve as a warning to all those mixing services who intentionally engage in illegal activities and those that operate without transparency and controls to prevent illegal use.

Although Trump's administration has promised the crypto community a friendly environment to strive, it does not mean it will pardon some illegal crypto services. Rather, laws against such illegal platforms will remain strong. But the challenge just as @bitterguy28 has said is that, some critics may capitalise on this and push further negative assumptions about all crypto platforms and their services.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Charles-Tim on November 14, 2024, 08:38:07 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM
What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
Yes, another mixer can face such punishment in the future. But this one is kind of different because the man is directly linked to money laundering. All mixers are indirectly not legal in United States as they are all having money-transmitting service that is not registered. But mixers will not be a mixer if they are registered because the rules needed before they register would be that all their customers have to get verified which is the opposite of what mixers are. So the mixers in United States can easily be accused of something, including money laundering, sex trafficking just like this one. The government can easily paint something not black as black. Although, this man sentence is worth it.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Kemarit on November 14, 2024, 09:05:13 AM
It's obvious that there is financial repercussions here. AS Bitcoiner, we uses Mixer to hide our identity and we want to be private. But if government keeps on coming and putting down Mixer, then there is a huge threat between our financial freedom and the control of the government.

Although I think it is still light sentence though, I'm expecting like 20 years in Prison with that huge amount of money involved. But in any case, I think we are going to use Mixers, and if they take down one, 5 will pop up in the future.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: ABCbits on November 14, 2024, 10:30:36 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM
What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?

It's not first time, since Samourai Wallet also arrested for creating privacy tools and also stupid enough to explicitly welcome those sanctioned/wanted by U.S. government. I also expect such case will happen again, either under Trump or someone else administration. Although 12.5 years prison time is on lighter side, assuming all of the accusation against him is true.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: robelneo on December 15, 2024, 11:36:36 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM

What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
We're about to see that once Trump sits in the office, I'm sure he will be educated on the use of mixing services, and its up to him what policies he is going to implement I just hope its not similar to Biden's approach.
Mixing business are here to stay because they have a market for users who have a need to use a mixing service.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Z-tight on December 15, 2024, 12:03:48 PM
He pleaded guilty to the crimes, so yea, but i know the government is always quick to go after privacy solutions and accuse them of different kind of crimes. He is also going to forfeit $395m, and it is not just that, he is also going to forfeit seized cryptocurrencies of ~ $1.76m and also his interest in BTC fog.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: MrSpasybo on December 15, 2024, 06:35:13 PM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM
What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
Recently we've seen continuous legal actions targeting BTC mixing services, perhaps the government genuinely wants to minimize the misuse of BTC for illegal purposes. I know this seems futile as creating and operating a BTC mixer is not complicated, and the project will survive due to user demand while the team will choose to remain anonymous for self-protection.

On the bright side, this could be part of the process of researching and enacting a clear legal framework for mixers before the US government can accept the value of BTC for federal strategic reserves. Clearly, the government wants to attack and eliminate mixers but they will find it very difficult to succeed because mixers are supported and used by the crypto community.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Bobcrypto on December 16, 2024, 06:08:37 AM
Quote from: Kemarit on November 14, 2024, 09:05:13 AM
It's obvious that there is financial repercussions here. AS Bitcoiner, we uses Mixer to hide our identity and we want to be private. But if government keeps on coming and putting down Mixer, then there is a huge threat between our financial freedom and the control of the government.

Although I think it is still light sentence though, I'm expecting like 20 years in Prison with that huge amount of money involved. But in any case, I think we are going to use Mixers, and if they take down one, 5 will pop up in the future.

The crime against this guy is bordered on many charges and not necessarily because he was using bitcoin mixer, called Bitcoin frog for his clients. Mixers are legitimate mean of transferring or exchange coins, it is not intended for criminal purposes like this case .
In my opinion, he deserves the punishment as a very dubious person, i think it will serve as a lesson for those who are cought in similar crime.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: bitterguy28 on December 16, 2024, 08:17:47 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM


(https://bitcoinnews.com/wp-content/uploads/2024/11/Bitcoin_Fog_Founder_12-Years_in_Prison.jpg.webp)

What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
no he clearly did something illegal which was found by the authorities he was laundering money not all mixing services are laundering money and doing illicit activities behind their businesses so as long as they keep their operations clean i see no reason to be alerted and start worrying if they will ever be prosecuted just by operating a mixing service
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: TomPluz on December 16, 2024, 10:52:03 AM
Quote from: MrSpasybo on December 15, 2024, 06:35:13 PM

On the bright side, this could be part of the process of researching and enacting a clear legal framework for mixers before the US government can accept the value of BTC for federal strategic reserves. Clearly, the government wants to attack and eliminate mixers but they will find it very difficult to succeed because mixers are supported and used by the crypto community.


On my part, there is no question that cryptocurrency mixing business may have a gray side to it which means that things there can be subjected to different interpretations depending on who can be in power in the government. On the other hand, mixing is actually an extension of our use of privacy while dealing with the crypto industry so its importance can not be just taken for granted. I am then looking forward to what will be the policy of the coming Trump administration on this matter and whether they can be able to strike a balance between many players and users as part of the coming regulatory framework that maybe enacted.


Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Gposas on December 16, 2024, 11:21:25 AM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM


(https://bitcoinnews.com/wp-content/uploads/2024/11/Bitcoin_Fog_Founder_12-Years_in_Prison.jpg.webp)


"Bitcoin Fog founder Roman Sterlingov (https://bitcoinnews.com/legal/bitcoin-fog-founder-12-years-prison/) was sentenced to 12.5 years for laundering $400M in illicit funds; assets were forfeited by U.S. authorities."

The DOJ is successful in prosecuting the founder of Bitcoin Fog, a bitcoin mixing service, for laundering money worth around $400 million operating for almost 10 years in the market.

As usual, DOJ made it clear that "the laundered bitcoin came from darknet marketplaces and was tied to illegal narcotics, computer crimes, identity theft, and child sexual abuse material."

What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?

I believe the reason of anonymity and privacy is a major factor for government to term mixers as something illegal, since the route of where a Crypto assets is coming from or going to cannot outrightly be traced.

Though Donald Trump is a Crypto supporter, we can't really tell his mind towards these mixers. But as we all know, everything with advantage simply has disadvantages attached to it. And the reason of illegal usage of these mixers is a major disadvantage.

As for Roman Sterlingov, since he has been proven guilty, he has no other option than to serve the penalty that follows.
As this would stand as a lesson to others who will ever be caught in such illegality.
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Lucius on December 16, 2024, 05:23:52 PM
Quote from: Bobcrypto on December 16, 2024, 06:08:37 AM
~snip~
In my opinion, he deserves the punishment as a very dubious person, i think it will serve as a lesson for those who are cought in similar crime.

Then every owner of mixer is identical to him and faces the same fate if identified - and what about those who participate in their promotion? The way you think actually says that everyone who has such a business and participates in promoting it deserves the same fate.

Make sure your real identity is not linked to your profile, because who knows, maybe someone out there thinks you're a very dubious person who deserves punishment for promoting mixers. ::)
Title: Re: Bitcoin Fog Founder Gets Over 12 Years in Prison
Post by: Zed0X on December 16, 2024, 10:19:49 PM
Quote from: TomPluz on November 14, 2024, 03:29:16 AM
~
What is your own opinion on this conviction of a man on his Bitcoin mixing business...will it mean that more businesses of the same nature can be facing the same legal entanglement even under the coming Trump administration?
I haven't heard of that mixing service before but I'll probably see complaints about this guy getting 12.5 years and then there's another guy that got double life imprisonment. If I am not mistaken, Trump hasn't made any favorable stance on privacy and anonymity that's why I think he won't care if there will be more cases against mixers/blenders. It could be another way to increase the BTC reserves that he's planning to set up.