FinCEN Imposes First-Ever Fine on Bitcoin Mixer

Larry Din Harmon, founder of the cryptocurrency-mixing service Helix and CEO of Coin Ninja, was fined $60 million at the request of the Financial Crimes Enforcement Network (FinCEN).

ASSESSMENT OF CIVIL MONEY PENALTY by ForkLog on Scribd

According to investigators, Harmon laundered more than $300 million through darknet markets Abraxas, Agora, Hansa, Hydra and Wall Street Market.

Prosecutors from FinCEN also allege that the suspect was a partner of the now-defunct AlphaBay marketplace, through which he allegedly laundered $27 million in bitcoins. Harmon’s family denies any link between Larry and AlphaBay.

The case against Larry Din Harmon creates a precedent in U.S. law, as the DOJ has for the first time labelled cryptocurrency mixing a crime. Such a classification could spell trouble for any similar service.

Earlier, Harmon was arrested in February on suspicion of money laundering and running an unlicensed money-transfer service. He faces up to 30 years in prison.

During the proceedings, the court ruled that Bitcoin is money.

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