The U.S. government transferred more than $600,000 worth of Bitcoin linked to the 2016 Bitfinex hack to an exchange. Blockchain data shows 8.2 BTC moved from a government-labeled wallet to Coinbase Prime, potentially ahead of a sale. This is a small fraction of the nearly $7.2 billion in Bitcoin seized from the convicted hackers.
Blockchain data shows the U.S. government transferred more than $600,000 worth of Bitcoin connected to the 2016 Bitfinex hack. According to data from Arkham Intelligence, the funds were moved from a government account to Coinbase Prime, potentially ahead of a sale.
The 8.2 BTC, now valued around $628,000, represents a tiny portion of the seized assets. The BTC is connected to the more than $9 billion, or 94,000 BTC, which was seized from the Bitfinex hacker.
The funds were transferred from a wallet Arkham labeled as “Bitfinex hacker seized funds.” The coins last moved two years ago when a different U.S. government address sent them to that wallet.
The government’s intentions for the recently transferred BTC remain unknown at this time. A representative for the Department of Justice did not immediately respond to a request for comment seeking confirmation.
The more than 94,000 Bitcoin were seized from Ilya Lichtenstein and Heather “Razzlekhan” Morgan. Arrested in 2022, Lichtenstein later pleaded guilty to conspiracy to commit money laundering charges in 2023.
Lichtenstein was sentenced to five years in prison for money laundering in 2024. Morgan, Lichtenstein’s wife, was later sentenced to 18 months in federal prison on money laundering charges.
Prior to sentencing, the pair reached a plea deal with prosecutors in 2023. They agreed to forfeit all the remaining proceeds from the nearly 120,000 BTC stolen from the exchange.
Lichtenstein and Morgan were both recently released from prison. Morgan said at the time, “I want to give a shoutout to Papa Trump for making my 18-month sentence shorter. So razzle-fucking-dazzle.”
