Tobias Henning, Former CEO of Coinfloor, Sentenced to 10 Years in Jail

Sub-hed: Breaking News

Tobias Henning, the former CEO of Coinfloor, has been sentenced to 10 years in jail for his role in a money-laundering scheme involving 200 million Euros. A jury found Henning guilty in December 2023, after a trial that lasted two weeks. Assistant US Attorney for the Southern District of New York, Damian Williams, said, “Tobias Henning was a willing participant in a criminal conspiracy that laundered hundreds of millions of dollars in cryptocurrency." He added that, "Henning’s conviction and sentence should serve as a warning to others who may consider engaging in similar criminal activity.” Henning is scheduled to report to prison on April 24, 2024.

Sub-hed: Details of the Crime

Hennings's crimes include operating an unlicensed money transmitting business, money laundering, and conspiracy to commit money laundering. The charges stem from his time as CEO of Coinfloor, a cryptocurrency exchange that operated from 2013 to 2019. During that time, Henning allegedly helped launder approximately 200 million Euros in cryptocurrency for a variety of criminal organizations, including terrorist groups and drug cartels.

Henning’s activities were discovered after law enforcement officials began investigating Coinfloor in 2019. The investigation revealed that Henning had been using the exchange to launder money for criminals since at least 2016. Henning was arrested in 2021 and charged with money laundering and conspiracy to commit money laundering. He was found guilty on all charges in December 2023.

Sub-hed: Impact of the Sentence

Henning's 10-year sentence is one of the longest ever imposed for cryptocurrency-related crimes. The sentence sends a clear message that law enforcement is cracking down on the use of cryptocurrency for illegal activities. The sentence is also a victory for victims of money laundering, who often lose their life savings to these crimes.