Empire Market co-founder Raheim Hamilton sentenced to 40 years in prison

U.S. District Judge Steven C. Seeger sentenced Empire Market co-founder Raheim Hamilton to 40 years in prison and imposed a $5 million fine following his guilty plea to a federal drug conspiracy charge. Between 2018 and 2020, the crypto-only dark web platform facilitated over 4 million transactions totaling $430 million, including nearly $375 million in illicit narcotics sales. Hamilton agreed to forfeit 1,230 Bitcoin, 24.4 Ether, and three properties, while co-founder Thomas Pavey awaits sentencing after agreeing to forfeit 1,584 Bitcoin and additional assets.

Raheim Hamilton legal outcome and penalties

• ▪The U.S. Attorney's Office for the Northern District of Illinois publicly announced Empire Market co-founder Raheim Hamilton's 40-year prison sentence on October 7, 2026.
• ▪U.S. District Judge Steven C. Seeger sentenced 30-year-old Empire Market co-founder Raheim Hamilton to 40 years in federal prison and imposed a $5 million fine on October 5, 2026, in Chicago.
• ▪Empire Market co-founder Raheim Hamilton of Suffolk, Virginia, pleaded guilty in January 2026 to a federal drug conspiracy charge for operating the dark web platform.
• ▪Empire Market co-founder Raheim Hamilton agreed to forfeit approximately 1,230 Bitcoin worth about $101 million, 24.4 Ether worth about $60,000, and three real estate properties in Virginia.

Scope of illicit marketplace sales

• ▪Empire Market facilitated over 4 million transactions totaling more than $430 million in sales between 2018 and 2020, with drug sales accounting for nearly $375 million of total activity.
• ▪Court records show Empire Market illegal drug sales included approximately 13.3 kilograms of fentanyl, 447 kilograms of cocaine, 72 kilograms of methamphetamine, and 103 kilograms of heroin.
• ▪In addition to narcotics, Empire Market users bought and sold stolen account credentials, personally identifying information, counterfeit currency, and computer-hacking tools.

Platform operational security and features

• ▪Empire Market co-founders Raheim Hamilton and Thomas Pavey required all platform transactions to be conducted exclusively in cryptocurrency and encouraged users to employ coin mixers and encrypted communications.
• ▪Empire Market allowed buyers to rate vendors specifically on how effectively vendors packaged and concealed illegal drugs during shipping.

Thomas Pavey guilty plea and forfeitures

• ▪Empire Market co-founder Thomas Pavey agreed to forfeit approximately 1,584 Bitcoin, two boxes containing 25-ounce gold bars, three vehicles, and two Florida properties.
• ▪Empire Market co-founder Thomas Pavey, 41, of Ormond Beach, Florida, pleaded guilty to a federal drug conspiracy charge in 2025 and is scheduled for sentencing in October 2026.

Forfeited bitcoin policy and value

• ▪The combined 2,814 Bitcoin forfeited by Empire Market co-founders Raheim Hamilton and Thomas Pavey was valued at approximately $234 million at a Bitcoin price of $83,045 in October 2026.
• ▪A March 2025 U.S. presidential executive order directs Bitcoin forfeited in federal criminal or civil cases into a Strategic Bitcoin Reserve and prohibits its sale.

Empire Market history and shutdown

• ▪Empire Market went offline in August 2020 after more than 36 hours of downtime, in what darknet market users and analysts believed was a $30 million exit scam.
• ▪Empire Market launched in February 2018 following the takedown of AlphaBay and became the Western darknet market ecosystem leader.

Empire Market investigation and charges

• ▪Federal authorities publicly detailed criminal charges against the operators of Empire Market in June 2024.
• ▪Federal law enforcement authorities seized cryptocurrency, cash, and precious metals valued at approximately $75 million at the time of seizure during the Empire Market investigation.

Debatable claims

• ▪Raheim Hamilton's 40-year sentence is disproportionate to his platform administration role
• ▪The federal government should hold criminal asset forfeitures in a Strategic Bitcoin Reserve