Trump Facilitates Exchange of Russian Bitcoin Fraudster Vinnik for Marc Fogel
In the latest update, Alexander Vinnik, a former operator of the once capable bitcoin exchange BTC-E, will be released from U.S. custody in a swap with a prisoner in Russia.
according to New York TimesPresident Trump promoted prisoner swaps, and Russian prisoner Alexander Vinnik was replaced by American teacher Marc Fogel. Vinnik was arrested in Greece in 2017 and later sent to the United States and France to face charges related to fraud and money laundering. Prior to his arrest, Vinnik was in charge of a cryptocurrency exchange called BTC-E, which was involved in processing more than $9 billion in transactions.
Bitcoin Exchange and Criminal Relationships and $121 million in Losses
Vinnik did not register BTC-E as a currency service business in the United States, even if he had American clients. BTC-E was one of the first exchanges to popularize the sale of Bitcoin, with more than 1 million customers and more than $9 billion in transactions between 2011 and 2017. Its popularity has also attracted criminals who use the platform to launder money and move illegal bitcoins, according to U.S. prosecutors. They accused Vinnik of running BTC-E to help drug dealers, money launderers and cybercriminals, resulting in a $121 million loss.
In December 2020, Vinnik was convicted of money laundering and sentenced to five years in prison. In May 2024, he pleaded guilty and conspired to launder money in federal court in San Francisco. The Justice Department highlighted his case of global influence in the fight against cybercrime. Fogel returned to the United States on Tuesday after three and a half years of marijuana charges held in Russia.
Trump’s Middle East envoy Steve Witkoff received a call informing him that Marc Fogel was released by Russia and was instructed by Trump to bring him back to the United States. Vikov stressed that the exchange would not have happened without Trump’s participation, noting that Saudi Arabia helped to complete the deal.
Marc Fogel meets Trump at the White House and calls him a hero
President Trump met with Marc Fogel in person at the White House Tuesday night and gave him a tour of Lincoln’s bedroom. “I hope you know I’m not a hero at all. President Trump is a hero,” the former detention center said Tuesday night.
In addition, Trump also said another American would be released on Wednesday without providing his identity.
