Cryptocurrency Expert Gets 5 Years in NKorea Sanctions Case

Submitted by Associated Press on

Written by :

Associated Press

Published on :

Cryptocurrency Expert Gets 5 Years in NKorea Sanctions Case

NEW YORK (AP) — A cryptocurrency expert was sentenced Tuesday to more than five years in federal prison for helping North Korea evade U.S. sanctions.

ppp-banner-gn-520x340.gif

Virgil Griffith, 39, pleaded guilty last year to conspiracy, admitting he presented at a cryptocurrency conference in Pyongyang in 2019 even after the U.S. government denied his request to travel there.

A well-known hacker, Griffith also developed “cryptocurrency infrastructure and equipment inside North Korea," prosecutors wrote in court papers. At the 2019 conference, he advised more than 100 people — including several who appeared to work for the North Korean government — on how to use cryptocurrency to evade sanctions and achieve independence from the global banking system.

The U.S. and the U.N. Security Council have imposed increasingly tight sanctions on North Korea in recent years to try to rein in its nuclear and ballistic missile programs. The U.S. government amended sanctions against North Korea in 2018 to prohibit “a U.S. person, wherever located” from exporting technology to North Korea.

Prosecutors said Griffith acknowledged his presentation amounted to a transfer of technical knowledge to conference attendees.

“Griffith is an American citizen who chose to evade the sanctions of his own country to provide services to a hostile foreign power,” prosecutors wrote. “He did so knowing that power — North Korea — was guilty of atrocities against its own people and has made threats against the United States citing its nuclear capabilities.”

Defense attorney Brian Klein described Griffith as a “brilliant Caltech-trained scientist who developed a curiosity bordering on obsession” with North Korea. “He viewed himself — albeit arrogantly and naively — as acting in the interest of peace,” Klein said. “He loves his country and never set out to do any harm.”

Klein added that he was disappointed with the 63-month prison sentence but “pleased the judge acknowledged Virgil’s commitment to moving forward with his life productively, and that he is a talented person who has a lot to contribute.”

A self-described “disruptive technologist,” Griffith became something of a tech-world enfant terrible in the early 2000s. In 2007, he created WikiScanner, a tool that aimed to unmask people who anonymously edited entries in Wikipedia, the crowdsourced online encyclopedia.

WikiScanner essentially could determine the business, institutions or government agencies that owned the computers from which some edits were made. It quickly identified businesses that had sabotaged competitors’ entries and government agencies that had rewritten history, among other findings.

“I am quite pleased to see the mainstream media enjoying the public-relations disaster fireworks as I am,” Griffith told The Associated Press in 2007.

Klein previously said Griffith cooperated with the FBI and “helped educate law enforcement” about the so-called dark web, a network of encrypted internet sites that allow users to remain anonymous.

Related Content

Caesars buyout

Hospitality Baron Fertitta Looks to Acquire Caesars for $18 Billion

Hospitality billionaire Tilman Fertitta's firm will buy Caesars Entertainment (CZR.O), opens new tab in a $17.6 billion ‌deal, the companies said on Thursday, expanding his leisure empire.
Bally Bet lags in Massachusetts

DraftKings Made 90 Times What Bally Bet Did in Massachusetts Sports Betting for Month of April

Bally Bet is preparing to hold something of a monopoly in Rhode Island come November, but if neighboring Massachusetts any indication, those in the Ocean State might not have a whole lot to celebrate. 

Start your own bookmaker business - man with cigar and drinking bourbon

How to Start Your Own Bookmaking Business

Gambling911.com looks at the math behind running your own bookie business.
Why You Need a Price Per Player Sportsbook Software

Why You Need a Price Per Player Sportsbook Software

A price per player sportsbook software typically charges $5 and up per player per week while offering everything from odds, live betting, full reporting, 24-7 customer service and even a live dealer online casino.