Barnes & Thornburg Secures Decisive Victory on Behalf of Bitcoin Exchange Operator Maximiliano Pilipis
'This is a monumental win for our White Collar, Compliance and Investigations practice,' said Andrew J. Detherage, Firmwide Managing Partner at Barnes & Thornburg. 'This result reflects the strength and sophistication of our team when navigating highly complex disputes.'
Mr. Pilipis operated AurumXchange, a virtual currency exchange, during the cryptocurrency industry's formative years. Although the Department of Justice (DOJ) began investigating him in 2010, Mr. Pilipis was not indicted until 2024, when prosecutors seized or froze nearly all of his assets. The government alleged that Mr. Pilipis operated an unlicensed money services business from 2009 to 2013 and then laundered the proceeds beginning in 2018, years after AurumXchange closed.
Barnes & Thornburg's team argued in a motion to dismiss the indictment that Mr. Pilipis's business was not subject to registration requirements under the regulations in effect at the time, and therefore, no criminal conduct occurred. Judge Jane Magnus-Stinson, a senior district judge for the United States District Court for the Southern District of Indiana, granted the motion to dismiss the indictment in an order issued February 13, 2025, finding that AurumXchange was not subject to registration requirements at the time it operated.
After initially appealing the dismissal, the DOJ ultimately withdrew its challenge and moved to dismiss both the criminal and civil forfeiture cases in full. On April 23, 2025, Judge Magnus-Stinson granted those motions and dismissed the criminal and civil cases with prejudice. Barnes & Thornburg is currently working to secure the return of Mr. Pilipis's assets.
The Barnes & Thornburg team representing Mr. Pilipis includes partners Katie Matsoukas, Josh Minkler and Aly Hughes, along with counsel Katie Mills and associate Anne Parrish.
'We're proud to clear Mr. Pilipis's name after years under a cloud of investigation and prosecution,' said Katie Matsoukas, White Collar, Compliance and Investigations Co-Chair. 'As digital currencies emerged while regulations lagged behind, early adopters who operated in good faith had to navigate evolving legal frameworks. Mr. Pilipis should never have been subject to this retroactive enforcement and unjust application of the law.'
'This victory puts an end to an incredibly difficult process which spanned many years. It is personally impactful, but it is also a meaningful moment for the Bitcoin community and for others working to innovate with integrity in emerging spaces within uncertain legal or regulatory environments,' said Pilipis. 'I'm appreciative of the Barnes & Thornburg team's tireless dedication to my defense.'
The case is United States of America vs. Maximiliano Pilipis, case no. 1:24-cr-00009-JMS, argued before the U.S. District Court for the Southern District of Indiana, Indianapolis Division.
With more than 800 attorneys and other legal professionals, Barnes & Thornburg is one of the largest law firms in the country. The firm serves clients worldwide from offices in Atlanta, Boston, California, Chicago, Delaware, Indiana, Michigan, Minneapolis, Nashville, New Jersey, New York, Ohio, Philadelphia, Raleigh, Salt Lake City, South Florida, Texas and Washington, D.C. For more information, visit us at www.btlaw.com.
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