Roman Sterlingov’s lawyers argue against a “lengthy” prison sentence following his money laundering conviction.
Lawyers for Roman Sterlingov, the proprietor of Bitcoin Fog, a cryptocurrency mixer, have argued against a “lengthy” sentence in the wake of his conviction on money laundering charges.
In response to prosecutors’ petition that Sterlingov should serve between 20 and 30 years in prison, his legal team did not appear to provide a specific sentencing recommendation in a filing in the United States District Court for the District of Columbia on August 15.
Lawyers representing the proprietor of Bitcoin Fog asserted that the government’s recommendations were “unwarranted” in light of the sentencing in similar cases.
Sterlingov was found guilty of money laundering, conspiracy to facilitate money laundering, operating an unlicensed money transmitting enterprise, and money transmission without a license in DC by a jury in March.
Prosecutors alleged he operated the crypto mixer from 2011 to 2021, acting as a money laundering service for “criminals seeking to hide their illicit proceeds from law enforcement.”
Circumstantial’ evidence
According to the US government, Bitcoin Fog facilitated moving approximately $400 million in Bitcoin tied to illicit activities, including drug trafficking, identity theft, and computer fraud.
Sterlingov’s attorneys contended that he was associated with the crypto mixer but not accountable for its operations.
Mr. Sterlingov’s future, past, and selfless dedication to the welfare of his family and associates warrant a sentence that is significantly less severe, according to the sentencing memo. “His verdict is […] consistent with aiding and abetting, rather than actually operating Bitcoin Fog or possessing the Bitcoin Fog servers.
The Bitcoin Fog server, server logs, private keys, or ledger were never introduced into evidence, and the majority of the evidence presented at trial was circumstantial.
Judge Randolph Moss initially scheduled a hearing for Sterlingov’s sentencing on August 21, but he subsequently announced that the court would hear arguments regarding the government’s forfeiture order.
A prospective $395 million judgment and 1,354 BTC in a Bitcoin Fog wallet that has not been moved since 2012 are the assets at issue.
Roman Storm, the co-founder of Tornado Cash, is also facing criminal charges in the United States for his alleged involvement in the crypto mixing service.
Trial is scheduled for December. On Aug. 10, Alexey Pertsev, one of the platform’s developers, disclosed that he was “appealing a five-year sentence” for money laundering charges, which had been imposed after a guilty verdict in May.
