A Massachusetts man has been sentenced to six years in prison for running what authorities described as a “no questions asked” Bitcoin-to-cash operation that skirted U.S. financial regulations.
On May 22, 2025, Judge Richard Stearns of the Boston federal court sentenced Trung Nguyen, a resident of Danvers, to 72 months in prison and three years of supervised release, along with an order to forfeit $1.5 million in assets tied to the illegal business.
Unlicensed Crypto Exchange Business Spanned Three Years
From September 2017 to October 2020, Nguyen operated National Vending, which prosecutors say was an unlicensed money-transmitting business disguised as a vending machine company.
According to court documents, Nguyen offered anonymous Bitcoin-for-cash transactions, leveraging techniques he learned from an online course that specialized in concealing crypto activity from banks and regulators.
Prosecutors say Nguyen accepted large sums of physical cash, often without verifying the source, and exchanged it for Bitcoin—effectively allowing bad actors to convert cash into cryptocurrency outside the legal system.
Training in Deception: How Nguyen Avoided Detection
The scheme relied heavily on tactics to avoid regulatory scrutiny. Nguyen reportedly:
- Posed as a vending machine operator to mask the true purpose of his business
- Created a list of fake suppliers to explain cash flow
- Avoided mentioning the word “Bitcoin” in banking and compliance-related communications
- Opened multiple bank accounts under false pretenses
“Nguyen was taught to lie to banks and hide his real business,” the U.S. Attorney’s Office noted in its statement.
“His actions helped facilitate money laundering, tax evasion, and potentially more serious crimes.”
Federal Crackdown on Unlicensed Crypto Services
The sentence is part of a broader federal push to regulate crypto-related financial services and prosecute those operating outside the legal framework.
The U.S. Department of Justice and financial regulators have intensified enforcement efforts in recent years, targeting individuals who exploit the anonymity of cryptocurrency to engage in or enable illicit financial activity.
A Warning to the Crypto Community
Trung Nguyen’s six-year sentence sends a strong message to unlicensed crypto operators and “off-the-grid” exchangers.
As the U.S. government tightens oversight of digital currency transactions, individuals and businesses must adhere to money transmission laws, KYC (Know Your Customer), and AML (Anti-Money Laundering) regulations.
Failure to comply can result in criminal charges, asset forfeiture, and lengthy prison terms.
As cryptocurrency adoption grows, so does the responsibility to follow the rules.