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US prosecutors double down on 10-year sentence for HashFlare co-founders

2025-08-12 21:12:58

Main Idea

US prosecutors are seeking a 10-year prison sentence for HashFlare co-founders Sergei Potapenko and Ivan Turogin, arguing their cryptocurrency mining service was a fraudulent Ponzi scheme that caused significant harm to victims.

Key Points

1. Prosecutors refuted claims by the defendants' lawyers that HashFlare victims suffered no loss, citing expert opinions and the defendants' own figures.

2. Potapenko and Turogin were indicted in October 2022, arrested in Estonia, and extradited to the US in May 2024; they have been free on bail since July 2024.

3. The co-founders received letters from the US Department of Homeland Security directing them to 'self-deport' before sentencing, but their lawyers have not received a response regarding this matter.

4. Both defendants pleaded guilty to conspiracy to commit wire fraud.

Description

The two men pleaded guilty to conspiracy to commit wire fraud in February and later received a letter directing them to “self-deport” from the United States.

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