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Bitfinex Bitcoin thief released early, 120,000 Bitcoins money laundering case ushers in a new turn
【ChainNews】The 2016 Bitfinex Bitcoin theft that shook the crypto world has new developments. Hacker Ilya Lichtenstein has been released early due to participation in a reform program. The reason behind this is the First Step Act signed by U.S. President Donald Trump in 2018, which provides inmates with the opportunity for sentence reduction through rehabilitation.
The full story is as follows: Lichtenstein was sentenced to 5 years in prison in November 2024 for assisting in money laundering involving nearly 120,000 Bitcoins (worth approximately $4.5 billion at the time of the incident). His wife Heather Morgan (online alias Razzlekhan) was sentenced to 18 months for co-participation in the crime and was released in October 2025.
This case was once one of the largest thefts in cryptocurrency history, but now it has taken a turn due to the existence of a reformative law. Many are discussing how to view the impact of judicial sentence reduction policies on major economic crime cases.