UPay Revisits the Bitfinex Hack, Laundering Trail and Lichtenstein Conviction

The US Department of Justice’s sentencing announcement states that Lichtenstein carried out more than 2,000 unauthorized transactions, transferring 119,754 Bitcoin to a wallet he controlled. Prosecutors said he also deleted access credentials and logs from Bitfinex’s network to conceal his activity.

The department described the laundering activity as involving false identities, automated transactions, cryptocurrency exchanges and mixing services, US business accounts and purchases of gold coins. Morgan assisted in laundering the proceeds after the original hack.

UPay’s account describes investigators

UPay revisited the Bitfinex cryptocurrency theft and the prosecution of Ilya Lichtenstein in a profile published on July 24, 2026. The article traces the 2016 breach, the laundering operation involving his wife Heather Morgan and the criminal proceedings that followed. The US Department of Justice’s sentencing announcement states that Lichtenstein carried out more than 2,000 unauthorized transactions, transferring 119,754 Bitcoin to a wallet he controlled. Prosecutors said he also deleted access credentials and logs from Bitfinex’s network to conceal his activity. The department described the laundering activity as involving false identities, automated transactions, cryptocurrency exchanges and mixing services, US business accounts and purchases of gold coins. Morgan assisted in laundering the proceeds after the original hack. UPay’s account describes investigators

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