News

Trio Indicted For $400 Million FTX Hack And Identity Theft Scheme

Key Points:

  • Trio was charged with a sophisticated sim-swapping scheme during a $400 million FTX hack in November 2022.
  • Charged with wire fraud, the suspects exploited over 50 victims through sim-swapping.
According to CNBC, three individuals have been charged in connection with a sophisticated identity-theft conspiracy linked to the $400 million hack of the FTX cryptocurrency exchange in November 2022, coinciding with the exchange’s Chapter 11 bankruptcy filing.

Trio Indicted in $400 Million FTX Hack and Identity-Theft Conspiracy

According to court records, Robert Powell, the alleged ringleader of the SIM swapping group, along with Carter Rohn and Emily Hernandez, orchestrated a sim-swapping scheme targeting FTX.

Sim-swapping involves manipulating mobile carriers to transfer victims’ phone numbers to SIM cards controlled by attackers, granting unauthorized access.

FTX Hack Suspects Face Charges in Multi-State Identity Theft Operation

The indictment, issued in mid-January, reveals the trio’s activities from March 2021 to April 2023. The suspects, accused of wire fraud, aggravated identity theft, and access device fraud, exploited more than 50 victims. They allegedly created fake identification documents, impersonated victims, and accessed online, financial, and social media accounts for illicit gains.

During the FTX hack in November 2022, the exchange faced financial turmoil, filing for bankruptcy as it grappled with a collapse triggered by misappropriation of customer deposits. Founder Sam Bankman-Fried was recently found guilty of fraud and conspiracy, facing a potential 115-year prison term.

The indictment outlines a scheme involving over 15 states, where co-conspirators tricked phone companies into swapping Subscriber Identity Modules, enabling them to bypass multi-factor authentication and access victims’ accounts. The defendants are due for a Chicago federal court hearing.

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Recent Posts

Bonk’s ICO Was Just the Start: Why BTFD Coin’s Stage 7 Price Rollback Is Your Second Shot at Crypto Glory

BTFD Coin is offering a chance to relive the glory days of meme coin investing,…

29 minutes ago

Decoding BDAG’s AMA: A Blueprint for Scalable Blockchain and Enhanced Community Ties

Explore key takeaways from BlockDAG’s AMA, showcasing strides in scalability, growth of the ecosystem, and…

44 minutes ago

Best Cryptos with 1000X Potential: Qubetics Revolutionises Blockchain as Polkadot and Cosmos Shape the Future

Discover why Qubetics, Polkadot, and Cosmos are the best cryptos with 1000X potential, offering innovation,…

4 hours ago

Best Coins to Buy in December 2024: Qubetics Offer 630% ROI, Polkadot Delivers on Interoperability and Near Protocol’s Scalability is Talk of the Town

Explore the best coins to buy in December 2024—Qubetics with its thrilling presale, Polkadot’s interoperability,…

10 hours ago

Crypto Market Outlook 2025 Key Factors to Watch

The Crypto Market Outlook 2025 highlights key areas: stablecoin growth, tokenization, crypto ETFs, DeFi innovation,…

13 hours ago

Bitcoin Quantum Computing Threat Expected to Take Decades

The Bitcoin quantum computing threat is years away, but reserves already support post-quantum signatures via…

13 hours ago

This website uses cookies.