A man who helped launder hundreds of millions in Bitcoin received a surprisingly light sentence.
A Lighter Sentence for a Crypto Crime
Larry Harmon, who pleaded guilty to running a dark web cryptocurrency mixing service, was sentenced to just three years in prison. This is significantly less than the potential 20-year sentence he faced. Harmon’s cooperation with authorities in a larger case was key to this reduced sentence.
The Bitcoin Fog Connection
Harmon’s cooperation involved providing evidence against Roman Sterlingov, the founder of Bitcoin Fog, another cryptocurrency mixing service. Bitcoin Fog processed over $400 million in Bitcoin, much of it linked to illegal activities like drug trafficking and online scams. Sterlingov received a much harsher 12.5-year sentence.
The Price of Cooperation
In exchange for his assistance, Harmon avoided a recommended sentence of at least six years. He also had to forfeit $311 million in Bitcoin and pay a $60 million fine. Prosecutors stated that Harmon’s full cooperation and remorse were major factors in the judge’s decision.
