Uncovered Bitcoin Theft and Spending Spree: 12 Individuals Accused of Executing a $263M Cryptocurrency Heist and Lavish Luxury Purchases
Fresh Spin
Liftoff: A Fresh Takedown on a $263M Crypto Swindle
Twelve more crooks in cuffs, accused in a mammoth $263M cryptocurrency rip-off spanning global boundaries
Federal authorities have splashed a new indictment across the scene, shackling twelve new suspects in an already jaw-dropping cybercrime saga involving one of the most significant digital asset heists ever prosecuted in the U.S. These treacherous scoundrels, from California to Dubai, are accused of snatching over $263 million in cryptocurrencies using a crafty combo of skullduggery, fraud, and even residential break-ins.
The $263 Million Crypto Heist: Cunning Tricks and Worldwide Wiles
The U.S. Justice Department has breaking news: the criminal enterprise kicked off as early as October 2023 and kept on rolling till March 2025. It evolved from casual online gaming camaraderie into a tightly-knit cyber-extortion gang.
The group reportedly played various roles, resembling database hackers, smooth-talking impostors, cash-laundering masterminds, and, yes, "burglary binoculars" too! Their main targets: Serious crypto stash carriers, whose sensitive details had been snatched from leaked or pilfered data grabbed on the dark web.
Digging Deeper: From Dark Lagoons to Haute Parties
According to the indictment, stolen databases containing email addresses and crypto exchange credentials were either snatched or bought off the shadowy bazaars of the underground. These databases were then meticulously mined for high-profile financial fish.
Once found, a choreographed charade would be set in motion. The impostors would pretend to be helping security pros, bamboozling victims into spilling their secrets or verifying sensitive details. In some instances, physical surveillance and burglaries were next on the list, with one member reportedly raiding a victim's New Mexico house while another kept tabs on the iPhone's real-time location.
Their pièce de résistance? Some 4,100 BTC worth around $230 million at the time, violently dispensed from a single victim in Washington D.C. in August 2024, thanks to a high-society social engineering swindle. Other episodes included the pilfering of $14 million in crypto from yet another victim the month prior.
*Read More: Phantom Wallet Holds $3.1M Lawsuit After $500K Theft Sparks Crypto Caution ***
Affluent Antics: Spending Sprees on Porsches, Parties, and Prada
These no-good boys may have lurked in the dark, but they sure knew how to spend their ill-gotten gains. The indictment offers a glimpse into a lifestyle of decadence, featuring:
- Up to half a mil per wild night out at the swankiest nightclubs
- A shiny fleet of 28 exotic cars worth between $100,000 and $3.8M each
- Luxury abodes in the Miami, Los Angeles, and Hamptons skimmed using fake paperwork
- Deluxe designer duds, like Hermès Birkin bags, luxury timepieces, and trendy attire
- Private jets and a standing army of bodyguards
Couldn't hide the dough, though. They even used squishy plush toys to shuffle stacks of cash across states and relied on cryptocurrency jugglers, money-launderers bending time, and ghost wallets to obfuscate transactions and dodge blockchain forensics.
Money Laundering by Mistake Makers and Persistent Overlords
Four chief suspects - Kunal Mehta, Hamza Doost, Joel Cortez, and Evan Tangeman - are said to have run unauthorized crypto-to-cash services, facilitating the conversion of stolen assets into cash or exotic goodies through shell enterprises and forged documents.
The alleged ringleader Malone Lam, even after No-Entry Fooled, allegedly continued puppeteering operations from his cell, reportedly dispatching stolen crypto and high-end gifts -including designer handbags- to his squeeze.
Read More: *Bybit Offers $140 Million Rewards for Stolen Crypto Following Mega Hack*
Hot Seat: Charges and Legal Snares
The accused are facing a variety of federal charges including RICO conspiracy, fraud conspiracy, money laundering, and obstruction of justice. Arrests were made in California, while two suspects remain sneaky statues over seas, believed to be squirreled away in Dubai.
The U.S. Attorney's Office for the District of Columbia, FBI's cybercrime divisions in D.C., Los Angeles, and Miami, and the IRS Criminal Investigation division are all intertwined in this joint venture.
Every Thomas is innocent until the court says otherwise. If convicted, the verdict will be served per federal regulations based on the gravity and sprawl of each offense.
- The crypto swindle, valued at over $263 million, involved a global network of individuals accused of using various methods such as fraud, hacking, and even residential break-ins to steal cryptocurrencies.
- The U.S. Justice Department indictment details how the criminal enterprise operated from October 2023 to March 2025, evolving from online gaming camaraderie into a cyber-extortion gang.
- Their tactics included hacking databases, impersonating security professionals, and conducting physical surveillance, often resulting in thefts of crypto assets from victims.
- The group is also accused of laundering money through shell enterprises, forged documents, and ghost wallets, and using cryptocurrency jugglers to obfuscate transactions and evade blockchain forensics.
- In high-profile cases, they were able to steal over $230 million worth of Bitcoin in one instance and $14 million from another victim.
- The stolen funds were used for extravagant spending on luxury goods, parties, exotic cars, and even private jets.
- The suspects face federal charges including RICO conspiracy, fraud conspiracy, money laundering, and obstruction of justice. Some suspects have been arrested, while a few remain at large, believed to be hiding in Dubai.
