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A South Texas man goes to prison after using cryptocurrency to access child pornography
An Edcouch, Texas, man has been sentenced to federal prison after using cryptocurrency to purchase links to child pornography containing bestiality and sadistic and masochistic content, the U.S. Department of Justice said in a press release last week.
Servando Diaz, 32, pleaded guilty March 19 and was sentenced to 12 years for receiving child pornography, Southern District of Texas U.S. Attorney Alamdar S. Hamdani said.
At the hearing, U.S. District Judge Drew Tipton heard that Diaz admitted to downloading child pornography onto multiple personal devices for personal use online and offline. The court also heard that his child pornography collection included a wide range of content. Diaz was also ordered to pay a special assessment of $5,000 and will serve 10 years of supervised release after his release from prison.
He will have to comply with numerous requirements that limit his access to children and the Internet. He has also been ordered to register as a sex offender.
From approximately November 30, 2022 to approximately December 7, 2022, Diaz downloaded child pornography from links purchased using cryptocurrency, the press release states.
Law enforcement is investigating a commercial sex trafficking ring in which child pornography is sold and paid for using cryptocurrency. In the scheme, links are provided to the buyer through MEGA, a file hosting service, officials said.
The authorities have identified a person who purchased child pornography directly from the commercial sexual exploitation network. A database check confirmed that the warehouse address in Edcouch belonged to Diaz, authorities said.
On August 15, 2023, Diaz agreed to an interview with law enforcement and admitted to viewing, purchasing and downloading child pornography for approximately 10 years, the press release said, adding that Diaz used platforms including Telegram and MEGA to purchase links to the cryptocurrency.
He also paid approximately $50-$150 through PayPal to gain access to a private group known to distribute child pornography on Discord or Telegram, the press release said.
According to the press release, law enforcement conducted a forensic search of his digital devices, finding 360 videos and 178 image files containing child pornography, including prepubescent children engaged in sexually explicit behavior.
Diaz will remain in custody until he is transferred to a U.S. Bureau of Prisons facility.
The FBI led the investigation.
The case was prosecuted by Assistant United States Attorney Alexa D. Parcell as part of Project Safe Childhood, a national initiative launched by the Department of Justice in May 2006 to combat child sexual exploitation and abuse.