Ilya Lichtenstein reportedly admits to being Bitfinex hacker

The husband of Razzlekhan admitted to being behind the 2016 attack in a courtroom on Thursday

article-image

solarseven/Shutterstock modified by Blockworks

share

Ilya Lichtenstein, husband of Heather ‘Razzlekhan’ Morgan, has admitted to being the original hacker behind the 2016 attack on crypto exchange Bitfinex.

According to a CNBC report, Lichtenstein made the confession during a plea hearing held in New York City on Thursday.

On July 20, Lichtenstein and Morgan entered into a plea deal, which included charges of money laundering conspiracy and conspiracy to defraud the United States. Additionally, they agreed to forfeit the cryptocurrency involved in the hack.

Neither of the defendants, however, were charged with the hack itself despite Lichtenstein reportedly admitting to being the hacker. 

Morgan and Lichtenstein were arrested in February of last year. The two were originally accused of conspiring to launder over 119,000 bitcoins, as well as initiating 2,000 unauthorized transactions on the Bitfinex platform. 

The recovered bitcoin was valued originally at $70 million but rose to as high as $3.6 billion at the time of their arrest.

“Those unauthorized transactions sent the stolen bitcoin to a digital wallet under Lichtenstein’s control,” court documents at the time alleged. “Over the last five years, approximately 25,000 of those stolen bitcoin were transferred out of Lichtenstein’s wallet via a complicated money laundering process that ended with some of the stolen funds being deposited into financial accounts controlled by Lichtenstein and Morgan.”

Morgan’s plea hearing will take place later Thursday. She was previously released on a $3 million bond. Lichtenstein was denied bail and has been in jail since his arrest.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Unlocked by Template.png

Research

The march toward an interoperable and onchain-by-default internet depends on reliable messaging and value transfer across heterogeneous domains. Crosschain protocols now process >$1.3T in combined annual transfer volume and secure tens of millions of user interactions, yet no single design dominates.

article-image

The exchange’s full approval from the UAE’s Securities and Commodities Authority marks a regulatory milestone for global crypto oversight

by Blockworks /
article-image

Founded by Coinbase and Cruise veterans, CipherOwl plans to bring artificial intelligence to blockchain monitoring and risk detection

by Blockworks /
article-image

As the shutdown enters its second week, sources say the Senate Banking Committee looks to move ahead with a market structure bill markup

article-image

The collaboration expands Ripple’s Middle East footprint, supporting Bahrain’s blockchain adoption and future rollout of Ripple USD

by Blockworks /
article-image

The medical device firm will manage its $400 million Solana holdings using Coinbase Prime infrastructure to bolster its digital asset strategy

by Blockworks /
article-image

The deal gives PayPay a 40% stake in Binance Japan, linking digital assets with Japan’s largest mobile payment network

by Blockworks /