cryptojournalist
Taking the Blame
Ilya Lichtenstein, the hacker behind the massive 2016 Bitfinex crypto theft, has spoken out after being sentenced to five years in prison. In a Dec. 19 post on X, he admitted to stealing and laundering thousands of Bitcoin but insisted his wife, Heather Morgan, had no part in the hack. “I planned and executed the Bitfinex heist entirely by myself,” he said, adding that Morgan didn’t even know about it for years.
Morgan, also known as the rapper “Razzlekhan,” received an 18-month sentence for helping launder the stolen Bitcoin.
A Historic Crypto Heist
The Bitfinex hack was one of the biggest in crypto history, with 119,754 Bitcoin stolen. Back in 2016, it was worth millions, but today it’s valued at over $12 billion. Lichtenstein confessed to being the mastermind, leading U.S. authorities to recover much of the stolen funds. Bitfinex users are expected to start receiving reimbursements early next year, with a restitution hearing set for February.
Netflix and Public Drama
The high-profile case even caught Netflix’s attention, resulting in a documentary. Lichtenstein dismissed claims in the series suggesting his father’s involvement, saying, “My dad is no hacker. He doesn’t even know how to use Instagram.”
Morgan’s Post-Sentencing Comeback
Despite her sentence, Morgan has been active online. She’s shared videos about her home arrest and launched a Cameo account, charging $125 for personalized messages. Branding herself as “crypto’s favorite felon,” she’s been using her notoriety to promote her creative projects.
Morgan is set to report to prison in January, where she’ll join other high-profile inmates, including former Alameda Research CEO Caroline Ellison, who is serving time for her role in the FTX collapse.
