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Re:

Bitcoin Fog Operator Roman Sterlingov: $400 Million Case, Sentence and Appeal

A federal jury convicted Bitcoin Fog operator Roman Sterlingov in 2024. He was sentenced to 150 months, and the D.C. Circuit affirmed the judgment in 2026.
From TheFinanceBase Team3 min to read
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Roman Sterlingov was convicted of four offenses tied to Bitcoin Fog, a bitcoin-mixing service prosecutors said processed more than 1.2 million bitcoin—worth about $400 million at the time of the transactions. He received a 150-month prison sentence, and on September 25, 2026, the U.S. Court of Appeals for the D.C. Circuit affirmed the convictions and sentence.

Who was Roman Sterlingov?

Sterlingov, a dual Russian-Swedish national, was accused of helping operate Bitcoin Fog from 2011 through 2021. A federal jury in Washington, D.C., found him guilty on March 12, 2024, after a month-long trial. The jury convicted him of conspiracy to commit money laundering, substantive money laundering, operating an unlicensed money-transmitting business, and money transmission without a license under D.C. law. These are convictions concerning Sterlingov and the alleged Bitcoin Fog business—not a general ruling against every bitcoin mixer, bitcoin user, or privacy technology.

What was Bitcoin Fog?

Prosecutors described Bitcoin Fog as a cryptocurrency mixer, also called a tumbler, intended to obscure the origin of bitcoin. The service operated for about a decade, according to the Department of Justice, and stopped after Sterlingov’s April 27, 2021 arrest. The appellate opinion says its last withdrawal occurred on April 29, 2021, two days after the arrest.

The D.C. U.S. Attorney’s Office said investigators used IRS Criminal Investigation analysis of direct bitcoin flows between Bitcoin Fog and known darknet markets. Blockchain analysis can associate addresses and group them into clusters believed to be controlled by a person or entity. On appeal, Sterlingov challenged expert testimony that relied in part on Chainalysis Reactor, including issues involving access to proprietary source code. The D.C. Circuit upheld the district court’s relevant rulings in this case; that decision is not a blanket endorsement of every blockchain-analytics product or attribution.

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How much bitcoin did Bitcoin Fog process?

The figures describe different scopes and should not be treated as interchangeable:

Measure Reported figure What it describes
Total Bitcoin Fog activity More than 1.2 million BTC; approximately $400 million DOJ’s estimate of transaction activity over the service’s decade of operation, with the dollar value measured at transaction time. It is not a current valuation.
Direct flows involving known darknet markets More than $78 million The D.C. U.S. Attorney’s Office estimated about 486,861.69 BTC received directly from known darknet markets, worth approximately $54,897,316 at transaction time, and about 164,931.13 BTC sent directly to those markets, worth approximately $23,690,956 at transaction time.

The direct-market estimate is a subset of specific flows, not another way of stating the broader $400 million total. DOJ releases associated much of the cryptocurrency with darknet marketplaces and described links to narcotics, computer crimes, identity theft, and child sexual abuse material. The D.C. U.S. Attorney’s Office specifically named the Welcome to Video site. Those descriptions reflect evidence and findings reported in the prosecution.

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What sentence and forfeiture did Sterlingov receive?

In November 2024, the district court sentenced Sterlingov to 150 months in prison. The D.C. Circuit later affirmed that sentence. DOJ also reported a forfeiture money judgment of $395,563,025.39, alongside forfeiture of seized cryptocurrency and monetary assets valued at approximately $1.76 million and Sterlingov’s interest in a Bitcoin Fog wallet holding about 1,345 BTC. DOJ valued that bitcoin at more than $103 million in its November 2024 release; that is a release-date valuation, not its current market value. A prison term and a forfeiture judgment are separate consequences, and the judgment amount should not be read as a current estimate of assets recovered.

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Did Sterlingov win his appeal?

No. On September 25, 2026, a three-judge panel of the D.C. Circuit rejected Sterlingov’s appellate arguments and affirmed the district court judgment. The opinion addressed venue, statute-of-limitations arguments, evidentiary issues, expert testimony, and sentencing calculations. Its conclusion was: “Accordingly, we affirm the District Court.” The opinion and official record establish the affirmance, but do not establish whether Sterlingov later sought further review.

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Case timeline

  1. 2011–2021: DOJ said Bitcoin Fog operated during this period.
  2. April 27, 2021: Sterlingov was arrested.
  3. April 29, 2021: The appellate opinion identifies Bitcoin Fog’s last withdrawal.
  4. March 12, 2024: A federal jury convicted Sterlingov on all four counts.
  5. November 2024: The district court imposed a 150-month sentence and forfeiture; DOJ announced the judgment and asset figures.
  6. September 25, 2026: The D.C. Circuit affirmed the convictions and sentence.

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