New Jersey man gets 12 years after using Bitcoin to pay Chinese fentanyl suppliers

Prosecutors say the conspirators transported fentanyl analogs, MDMA, methylone and ketamine and distributed bulk drugs and counterfeit pills.

A Passaic County man has been sentenced to 12 years in prison for his role in a large-scale fentanyl distribution and money laundering conspiracy that used Bitcoin to pay foreign drug suppliers, according to the latest news release from the U.S. Department of Justice.

William Panzera, 53, of North Haledon, New Jersey, was sentenced following his conviction for drug trafficking conspiracy and international money laundering.

Counterfeit pills, real fentanyl

According to court documents and statements made in court, Panzera was a member of a drug trafficking organization responsible for importing and distributing hundreds of pounds of fentanyl analogs and other controlled substances. Prosecutors said Panzera and his co-conspirators agreed to import and distribute fentanyl analogs, MDMA, methylone and ketamine.

The drugs came from suppliers in China and were distributed throughout New Jersey, both in bulk form and in the form of counterfeit pharmaceutical pills containing fentanyl analogs in place of legitimate drugs.

Authorities said the conspiracy resulted in the importation of more than a ton of fentanyl-related substances and other drugs into the United States. To pay for the shipments, members of the organization sent hundreds of thousands of dollars to China using a combination of bank transfers and Bitcoin (BTC).

Panzera was convicted at trial in January 2025. The Justice Department said eight other defendants involved in the case had previously pleaded guilty.

Fentanyl Trafficking on Dark Web

This case is part of a broader crackdown on the fentanyl trade and illicit drug networks, coordinated by U.S. and international authorities. In May 2025, the Department of Justice announced the results of Operation RapTor, a massive international law enforcement initiative targeting drug markets on the dark web.

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The operation led to the arrest of 270 individuals worldwide and the seizure of more than $200 million in cash and digital assets.

According to the DOJ, the efforts targeted sellers, buyers and administrators involved in the online trafficking of opioids, specifically fentanyl, and other narcotics. Operation RapTor was conducted in coordination with law enforcement agencies from ten countries, including the United States, United Kingdom, Germany, South Korea and Brazil, and was described as the largest takedown in the history of the organization’s Joint Criminal Opioid and Darknet Enforcement (JCODE) team.

Authorities seized more than two tons of drugs, including 144 kilograms of fentanyl-laced substances, in addition to more than 180 firearms. The research was based on information collected from previously dismantled darknet markets such as Nemesis and Tor2Door. The operation also marked the first use of sanctions by the Office of Foreign Assets Control as part of a JCODE action.