According to a report by FinanceFeeds on January 3rd, Ilya Lichtenstein, the suspect who orchestrated the 2016 Bitfinex Bitcoin hack and stole and laundered nearly 120,000 BTC, was released early on January 2nd, 2026, ending his federal prison sentence prematurely. He stated on social media that he received a reduced sentence thanks to provisions of the First Step Act (a federal criminal justice reform act) passed during the Trump era, which allows prisoners to be released early by participating in rehabilitation and eligibility programs. Lichtenstein was originally sentenced to five years in prison (with a plea in November 2024), but actually served only about 14 months. This case unfolded concurrently with that of his wife and accomplice, Heather “Razzlekhan” Morgan, who was previously sentenced to 18 months for aiding and abetting money laundering and was released early.
It is reported that the Bitfinex hack in 2016 resulted in the theft of nearly 120,000 BTC. Subsequently, US law enforcement agencies launched a long-term investigation, recovered a large amount of funds, and arrested the Lichtenstein couple.
