Home Darknet Coin Ninja CEO charged with $311M laundering

Coin Ninja CEO charged with $311M laundering

CEO of Coin Ninja, a Bitcoin media website, Larry Harmon, has been accused of laundering money and running money transmitting business without a Financial Crimes Enforcement Network (FinCEN) license.

Harmon is also the creator of crypto wallet provider DropBit.

Currently, the federal charges are as regards his use of Bitcoin privacy tools.

The United States federal prosecutors are accusing Harmon of fraud.

A license of arrest that was filed earlier in February stated that Harmon laundered not less than 354,468 Bitcoins worth 311 million US Dollars as at the time of the deals.

He also allegedly permitted users of ‘Helix’, a privacy tool and ‘Grams’, a darknet search engine, to market on Alphabay, a popular dark market that was closed in 2017.

Helix enabled its users to combine the coins before use through a CoinJoin transaction.

Asides money laundering, this mixture of coins has been related to unlawful acts.

For all these alleged offenses, Larry Harmon is looking at a 30-year jail sentence.

Coin Ninja’s properties frozen

According to Gary Harmon who happens to be Larry Harmon’s brother, Coin Ninja’s properties have been frozen.

He added that the Federal Bureau of Investigation (FBI) has also deducted $4,000 in Bitcoin from its Lightning Network node.

Reportedly, Journalist, Peter McCormack talked to Gary Harmon.

Peter McCormack noted that Larry Harmon has been rejected discharge on bail bond just because he was considered a flight hazard.

This is even after they have seized every of his possession.

The decision of the state attorney to detain Harmon is because the state thinks that he will not show in court if discharged on bail.

Reason being that he has important relations outside the U.S and is liable to a prolonged duration of imprisonment if sentenced.

Harmon’s crypto wallet provider, DropBit, has attained some fame among people who use Bitcoin.

This is especially because it permits the users to transmit BTC on-chain and over the Lightning Network using their Twitter handles or phone numbers.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Must Read

Staking: these are the 5 preferred cryptos for passive profits

Staking has been called in various ways, some accurate, others not so much. This has also happened with PoS,...

United Kingdom forces to block cryptocurrency advertising

The advertisements of the company Luno will be withdrawn from the United Kingdom after the resolution that obliges them to do so...

Cryptocurrencies find some relief after their crash

Cryptocurrencies find some support for a bounce after one of the toughest weeks for investors. Although last Thursday we...

China Strikes Cryptocurrencies Again, Bitcoin Slumps Again

The highest level of government in China has proposed new measures to regulate mining in the country. The proposal has been received...

Bitcoin on the Playstation? Sony’s patent finally accepted

On May 17, 2021, the publication of a patent by Sony Interactive Entertainment mentioning Bitcoin was greeted with great fanfare by the...