Feds arrest founder of bitcoin ‘mixer’ they say laundered $335 million over ten years

The Department of Justice said it has arrested a Russian-Swedish national who allegedly operated a long-running cryptocurrency laundering site.

Bitcoin Fog gained “notoriety as a go-to money laundering service for criminals seeking to hide their illicit proceeds from law enforcement,” according to the DOJ.

Bitcoin Fog has received a fair amount of coverage from cryptocurrency blogs and news sites since its inception, with some recommending it as the best option for hiding the origin of bitcoin.

The IRS said it appeared from Bitcoin Fog transaction activity that Sterlingov took commissions of as much as $8 million on the bitcoin he helped clients launder.

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