Owner of Empire Market Sentenced to 40-Year Prison Term for Cybercrime

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Owner of Empire cybercrime market receives 40-year prison sentence

Key Details of the Case

Raheim Hamilton, who used the online handles “Sydney” and “ZeroAngel,” was the primary operator of the platform from August 2017 until its shutdown in 2020. The closure followed sustained DDoS attacks that led to accusations of exit scams after users were unable to access funds in their escrow accounts. Prior to establishing Empire Market, Hamilton engaged in illegal activities on AlphaBay, a dark web marketplace that ceased operations in 2017. During this period, he operated under the “ZeroAngel” moniker.

Operations and Impact

Empire Market functioned as a hidden service accessible via TOR browsers and was structured as a clone of AlphaBay. Alongside co-defendant Thomas Pavey, who previously pleaded guilty to federal drug conspiracy charges, Hamilton managed over 4 million transactions between sellers and buyers. The marketplace facilitated the sale of counterfeit currency, stolen credentials, hacking tools, and personal data, but drug trafficking dominated its operations. Approximately $375 million in drug sales were recorded, with more than 166,000 listings for controlled substances.

The Department of Justice reported that the site distributed significant quantities of controlled substances, including 13,314.23 grams of fentanyl, 446,683.15 grams of cocaine, 71,992.33 grams of methamphetamine, and 103,396.21 grams of heroin.

Legal Proceedings and Sentencing

Hamilton admitted during his January guilty plea that Empire Market was designed to evade law enforcement and enable money laundering. All transactions were conducted using cryptocurrency to ensure user anonymity. Law enforcement conducted multiple undercover purchases between April 2019 and May 2020, acquiring at least 143.5 grams of methamphetamine and 105.4 grams of heroin. Agents also intercepted a package containing 443.5 grams of methamphetamine ordered through the platform.

Aftermath and Asset Forfeiture

In July 2024, federal authorities charged the defendants and revealed that $75 million in cryptocurrency had been seized during the investigation. Hamilton has agreed to forfeit three Virginia properties and 1,230 bitcoin along with 24.4 Ether. Pavey, who will be sentenced later this month, has pledged to surrender two Florida properties, 1,584 bitcoin, two boxes of 25-ounce gold bars, and three vehicles.