Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
Home»TRADING NEWS»BTC-e Founder Pleads Guilty to Laundering Stolen Bitcoin
TRADING NEWS

BTC-e Founder Pleads Guilty to Laundering Stolen Bitcoin

By Crypto FlexsMay 4, 20242 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
BTC-e Founder Pleads Guilty to Laundering Stolen Bitcoin
Share
Facebook Twitter LinkedIn Pinterest Email

Alexander Vinnik, co-founder of the now-defunct cryptocurrency exchange BTC-e, has pleaded guilty to conspiracy to launder money, marking a significant development in his long-running legal case.

Vinnik’s guilty plea came as a result of an extensive investigation that uncovered widespread illegal activity on the exchange from 2011 to 2017.

BTC-e: A conduit for money laundering

In a May 3 press release, the U.S. Department of Justice (DoJ) said that when Vinnik led BTC-e, the exchange processed more than $9 billion in transactions and amassed a global user base of over 1 million. Many of them are located in the United States.

According to the DoJ, BTC-e served as a conduit for laundering funds obtained through various criminal activities.

Moreover, the Department of Justice’s investigation revealed that BTC-e operated without compliance measures, including registration with the Financial Crimes Enforcement Network (FinCEN).

Additionally, the exchange did not enforce anti-money laundering (AML) or know-your-customer (KYC) protocols for its customers during its period of operation.

Investigators also found that Vinnik established numerous shell companies and financial accounts around the world to facilitate illicit fund transfers via BTC-e, resulting in criminal losses totaling $121 million.

This incident occurred when BTC-e was transferred to Mt. It gained attention after a 2017 report by WizSecurity that revealed its involvement in the Gox hack.

The report detailed how hackers worked with BTC-e and Vinnik to launder stolen Bitcoin through exchanges, implicating Vinnik in illegal activities.

Last February, the DoJ indicted Belarusian Aliaksandr Klimenka as the main defendant in the BTC-e case, along with Vinnik.

Klimenka was charged with conspiracy to launder money and operating an unlicensed financial services business, with approximately $4 billion in laundered funds.

At the time of Klimenka’s indictment, the DoJ stated that BTC-e servers in the United States were a critical tool in criminal operations purportedly supported by Klimenka and his company Soft-FX.

After US law enforcement shut down BTC-e in 2017, Vinnik was arrested near Thessaloniki, Greece. The Russian-born cryptocurrency entrepreneur, who was extradited to the United States in 2022, faces money laundering and other criminal charges.

Despite attempts to revive and rebrand BTC-e as WEX, the venture eventually shut down, leaving many users unable to withdraw their funds.

In 2023, Alexey Bilyuchenko, a Vinnik employee and former technical manager of BTC-e, was sentenced to a fine and 3 years and 6 months in prison for misusing exchange funds.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

GrayScale XRP ETF GETS sec NOD: XRP price prediction and market impact

July 8, 2025

Elon Musk announces that his “American Party” will accept Bitcoin and criticizes Trump’s financial bill.

July 7, 2025

Bitcoin holders reach $ 1 trillion in paper gains.

July 6, 2025
Add A Comment

Comments are closed.

Recent Posts

GrayScale XRP ETF GETS sec NOD: XRP price prediction and market impact

July 8, 2025

Distribute Crypto Media Release That Get Attention

July 8, 2025

GUNZ Announces $GUN Token Expansion To Solana

July 7, 2025

NEXST Launches Web3 VR Entertainment Platform With K-Pop Group UNIS As First Global Partner

July 7, 2025

Elon Musk announces that his “American Party” will accept Bitcoin and criticizes Trump’s financial bill.

July 7, 2025

From Wall Street to Wallet: Ark Defai redefines financial architecture.

July 7, 2025

What Every Investor Should Know

July 6, 2025

Protecting Your Portfolio In A Volatile Market

July 6, 2025

A Trader’s Guide To Smarter Moves

July 6, 2025

Crypto Price Prediction Strategies – How Traders Forecast The Market

July 6, 2025

Causes, History, And How To Survive

July 6, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

GrayScale XRP ETF GETS sec NOD: XRP price prediction and market impact

July 8, 2025

Distribute Crypto Media Release That Get Attention

July 8, 2025

GUNZ Announces $GUN Token Expansion To Solana

July 7, 2025
Most Popular

Crypto News This Week: Top 4 Coins and Events You Can’t Miss

May 27, 2024

Borroe Finance Presale Recruits XRP and Solana Holders

January 25, 2024

Expert suggests a timeline for XRP price to surpass $1,000.

April 9, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.