Bitfinex hacker gets 5 years in prison for 120,000 bitcoin heist

The report describes the 2016 Bitfinex hack in which Ilya Lichtenstein exploited a vulnerability in Bitfinex's multi-signature withdrawal system to steal 119,754 BTC, then used sophisticated laundering techniques (multiple accounts, chain-hopping, mixers, intermediary addresses) with assistance from his wife to obfuscate funds; investigators recovered roughly 94,000 BTC, Lichtenstein pleaded guilty to money laundering, and was sentenced to five years with supervised release, while seized assets are subject to restitution claims.