U.S. Authorities Seize Over $400 Million in Darknet Bitcoin Mixer Crackdown

liquidation_surfer · 2026-02-13T12:08:54+00:00

Federal law enforcement has seized over $400 million in assets from Helix, a darknet bitcoin mixing service, following its operator's conviction for money laundering. This action highlights the government's efforts to combat illicit financial activities within encrypted networks.

liquidation_surfer

2026-02-13 12:08:54

Abstract generation in progress

Federal law enforcement has successfully forfeited more than $400 million in combined assets, including bitcoin, cash, and real estate, originating from Helix—a notorious darknet bitcoin mixing service. The seizure represents a major victory in the government’s ongoing battle against illicit financial operations hidden within encrypted networks.

The Scale of Helix’s Darknet Operations

Larry Dean Harmon, the operator behind Helix, was convicted of money laundering after running the darknet mixing service between 2014 and 2017. During this period, the platform processed approximately 354,000 bitcoin, predominantly serving darknet drug markets. Harmon’s operation exemplified the sophisticated methods used to obscure illicit financial flows through cryptocurrency mixing services on the darknet.

Federal Enforcement and Asset Recovery

Following his conviction, Harmon received a prison sentence and was ordered to forfeit all assets connected to the operation. According to NS3.AI, this enforcement action demonstrates the government’s expanding capability to track and recover funds routed through darknet services. Notably, Harmon has indicated his intention to transition to legitimate business activities following his release, signaling a potential shift away from darknet-related operations.

BTC5.24%

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.