HashFlare co-founder pleads guilty in $550 million cryptocurrency mining fraud case

ChainCatcher news, according to Cointelegraph, cryptocurrency mining service provider HashFlare co-founders Sergei Potapenko and Ivan Turogin pleaded guilty on February 12 in the U.S. District Court for the Western District of Washington. The two admitted to a conspiracy to commit telecommunications fraud involving more than $550 million.

As part of the plea agreement, the two agreed to forfeit all digital assets frozen by U.S. authorities. Sentencing is scheduled for May 8, and the two could face up to 20 years in prison.