Helix Founder Sentenced to Three Years for Laundering $300 Million
Larry Dean Harmon of Ohio was sentenced to three years in prison for operating the darknet crypto mixer Helix, which allegedly processed over $300 million worth of cryptocurrency from 2014 to 2017.
In addition to his prison sentence, Harmon faces forfeiture of assets up to $400 million for laundering over $300 million worth of Bitcoin tokens tied to drug markets. He facilitated the transfer of more than 350,000 BTC during this period and is subject to a forfeiture judgment of $311,145,854.
A Lighter Sentence Over Money Laundering Case
Harmon operated Helix from 2014 to 2017, laundering up to $300 million worth of Bitcoins for drug dealers. Following his guilty plea, US District Judge Beryl Howell imposed a three-year jail term, which is considered relatively light. In addition to imprisonment, Harmon will undergo three years of supervised release and must surrender all seized assets, including cryptocurrencies and real estate, totaling at least $400 million.
An Ohio man was sentenced to 3 years in prison and ordered to forfeit over $400M in assets for his operating of Helix, a darknet cryptocurrency “mixer.” @DOJCrimDiv #FollowTheMoney #IRSCIhttps://t.co/4IRC4fDbPf
— IRS Criminal Investigation (@IRS_CI) November 15, 2024
Helix: Harmon’s Role In Laundering Drug Money
Helix was a prominent crypto-mixing service on the darknet favored by drug dealers for money laundering. The site processed 354,468 BTCs, approximately $311,145,854, primarily for darknet drug markets, with some transactions linked to customers in the District of Columbia. Harmon earned fees and commissions from these transactions.
Harmon integrated Helix with Grams, a darknet search engine, and collaborated with various darknet markets for laundering operations. He customized an API to enhance compatibility with these markets. On August 18, 2021, Harmon pleaded guilty to conspiracy to commit money laundering.
Harmon’s Cooperation Paved The Way For A Lighter Sentence
Initially facing a potential 20-year sentence, the prosecutor sought at least 75 months of imprisonment. However, Judge Howell imposed only a three-year sentence, acknowledging Harmon’s cooperation in the case. His actions contributed to the sentencing of Roman Sterlingov to 12.5 years on November 8th. Judge Howell noted that Harmon closed the platform two years before charges were filed, viewing it as evidence of his reformation.
Featured image from CRI Group, chart from TradingView