DOJ Seizes $400M in Helix Crypto Linked to Darknet Money Laundering
The U.S. Department of Justice has completed the seizure of over $400 million in cryptocurrency and related assets linked to Helix...
Quick overview
- The U.S. Department of Justice has seized over $400 million in cryptocurrency linked to Helix, a now-defunct darknet mixer.
- Larry Dean Harmon, the operator of Helix, was sentenced to three years in prison for conspiring to launder money after moving over $300 million in cryptocurrency.
- Helix processed approximately 354,468 BTC, primarily from illegal activities, and facilitated transactions for major darknet marketplaces.
- The DOJ's actions reflect a broader effort to secure digital finance and combat criminal financial networks amid ongoing challenges in crypto regulation.
The U.S. Department of Justice has completed the seizure of over $400 million in cryptocurrency and related assets linked to Helix, a darknet mixer that is no longer operating. Helix hid the origins and movement of digital funds by sending user cryptocurrencies through complicated transaction chains.
Earlier, federal authorities seized assets from Larry Dean Harmon, the operator of Helix, who moved more than $300 million in cryptocurrency from 2014 to 2017. In 2021, Harmon admitted to conspiring to launder money and was sentenced in November 2024 to three years in prison and three years of supervised release. He also gave up significant property and financial assets.
According to court records, Helix processed about 354,468 BTC, worth around $300 million at the time. Many online drug sellers and other illegal actors used Helix to hide money from illegal activities.
Helix’s Links to the Darknet
Helix’s system made it easy for major darknet marketplaces like AlphaBay to connect using its API. This let platforms send withdrawals through the mixer quickly. Investigators tracked tens of millions of dollars to Helix, with the IRS Criminal Investigation unit and Homeland Security Investigations leading the case.
Key facts
- Helix processed more than 350,000 BTC for its users.
- A large amount of the funds came from illegal drug platforms.
- Harmon collected fees on every transaction that went through Helix.
A federal cybercrime prosecutor said that asset forfeiture is meant not only to punish but also to break up criminal financial networks. Investigators also seized real estate and traditional assets, showing their commitment to following illegal money across different areas.
Broader Impact on Crypto Oversight
The DOJ action follows Treasury Department sanctions on Tornado Cash, another mixer implicated in laundering billions. Although Tornado Cash sanctions were lifted in 2025 due to legal and policy complexities, officials highlighted the importance of securing digital finance from state-backed and criminal actors.
The Helix case also included laundering:
- $455 million from hacks by North Korea’s Lazarus Group
- $96M from the Harmony Bridge breach (June 2022)
- $7.8M from the Nomad hack (August 2022)
Treasury Secretary Scott Bessent said it is important to protect innovation while stopping abuse. Crypto leaders, such as Coinbase CEO Brian Armstrong, agreed that finding a balance between privacy and regulation is difficult, highlighting the challenges of overseeing open-source digital finance.
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