DOJ Completes Forfeiture of $400 Million in Crypto Linked to Helix

The United States Department of Justice (DOJ) has finalized the forfeiture of over $400 million in cryptocurrency and other assets associated with Helix, a Bitcoin-era darknet mixing service. According to Cointelegraph, the assets were seized from Larry Harmon, the operator of Helix, which facilitated transactions between 2014 and 2017. The crypto mixer was designed to obscure the origins and destinations of Bitcoin linked to darknet markets. The forfeiture follows a January 21 order by the US District Court for the District of Columbia, which formally transferred ownership of the assets to the government. This final court order grants the government legal title to the seized digital assets, real estate, and financial assets connected to Helix's operations. This development marks the conclusion of one of the most significant early Bitcoin mixer prosecutions in US courts, highlighting the lengthy process of resolving major crypto-related enforcement actions, even after criminal activities have ceased. Helix processed at least 354,468 Bitcoin during its operation, valued at approximately $300 million at the time of the transactions, according to the DOJ. Prosecutors linked this activity to darknet drug markets aiming to launder illegal proceeds. Harmon also operated Grams, a search engine designed to support major darknet markets active during that period. Investigators revealed that Helix's application programming interface allowed marketplaces to integrate the mixer directly into their Bitcoin withdrawal systems, facilitating large-scale laundering activities. The DOJ reported that investigators traced tens of millions from darknet markets to Helix. Harmon was arrested in February 2020 and pleaded guilty in August 2021 to conspiracy to commit money laundering. He was sentenced in November 2024 to three years in prison. At the time, the court ordered Harmon to forfeit assets valued at more than $400 million. Last week's order finalized the forfeiture, transferring clear legal title to the US government. As previously reported by Cointelegraph, Harmon's sentence was reduced after he cooperated with investigators, including testifying in the Bitcoin Fog case against Roman Sterlingov.