Criminals Steal Over $4bn in Bitcoin During First Half of 2019

Criminals Steal Over $4bn in Bitcoin During First Half of 2019

Criminals are still drawn to Bitcoin. The world’s leading cryptocurrency lacks anonymity and privacy. Even so, it is often used as a tool to hide monetary transactions. The first six months of 2019 have been rather telling in this regard. Over $4bn worth of Bitcoin has been stolen from investors during this period alone.  Criminals Want Your Bitcoin It is a well-known fact that Bitcoin is often associated with criminal activity.
25-Year-Old to Plead Guilty to Running Unlicensed Crypto Exchange

25-Year-Old to Plead Guilty to Running Unlicensed Crypto Exchange

A 25-year-old man from Westwood, Los Angeles, is said to plead guilty to federal charges for having exchanged up to $25 million in cash and crypto without a license and anti-money laundering program. Kunal Kalra, also known as “Kumar,” “shecklemayne” and “coinman,” was indicted on Friday for allegedly trading cash and crypto for individuals including drug dealers, partially via his bitcoin ATM kiosk. An announcement from the U.
British Teen Earned Over $400,000 in Bitcoin Through Criminal Activity

British Teen Earned Over $400,000 in Bitcoin Through Criminal Activity

Many officials claim only criminals use Bitcoin. All of those people are in the wrong. Many people use cryptocurrencies for a wide variety of purposes. It is certainly true criminals favor Bitcoin due to its pseudonymity. One Norwich-based individual was sentenced for hacking and accepting cryptocurrency as a payment.  Teens Love Bitcoin Riches One has to keep in mind cryptocurrencies have a certain allure.
Dark Web Drug Dealer to Forfeit Millions of Dollars in Illicit Crypto Earnings

Dark Web Drug Dealer to Forfeit Millions of Dollars in Illicit Crypto Earnings

A man has been sentenced in San Diego, California, for conspiring to sell drugs over dark web markets for cryptocurrencies. Thirty-nine-year-old Sky Justin Gornik had pleaded guilty to using a number of marketplaces such as Alpha Bay, Trade Route, Abraxas, Evolution, Outlaw Market, and Dream Market to deal in fentanyl, carfentanil, ketamine, oxycodone, amphetamine and other drugs under various pseudonyms, according to a Department of Justice announcement on Monday.
Man Offering Hacking Services for Bitcoin Gets 20-Month Jail Sentence

Man Offering Hacking Services for Bitcoin Gets 20-Month Jail Sentence

A British man has been handed 20 months in jail and ordered to forfeit over £400,000 ($487,000) for offering hacking services and stolen private data in return for cryptocurrency. Nineteen-year-old Elliot Gunton was sentenced at Norwich Crown Court on Friday, having pleaded guilty at a previous hearing, according to a local police news report.
UN Investigating 35 North Korean Military-Funding Cyberattacks

UN Investigating 35 North Korean Military-Funding Cyberattacks

After a U.N. report recently accused the North Korean regime of carrying out major cyberattacks of banks and crypto exchanges to fund its weapons of mass destruction programs, a longer version of the report has set out the claims in new detail. As reported on Aug. 6, the earlier confidential U.N. report seen by Reuters – researched by “independent experts” and presented to the U.
Australian Police Charge 5 Over $1.8 Million Cryptocurrency Scam

Australian Police Charge 5 Over $1.8 Million Cryptocurrency Scam

Five people have been charged in Australia over a cold-call cryptocurrency investment fraud. After an investigation by the Financial and Cyber Crime Group, State Crime Command, detectives allege that three men and two women duped over 100 investors into handing over A$2.7 million (around US$1.83 million) believing that they were generating significant profit. That was not the case, however, according to a warning from Queensland police on Thursday.
Dark Web Drug Dealer to Hand Over Bitcoin Millions After Plea Deal

Dark Web Drug Dealer to Hand Over Bitcoin Millions After Plea Deal

A dark web drug dealer must forfeit $4 million in funds including bitcoin after pleading guilty to charges of money laundering and conspiracy to distribute controlled substances. According to a press release from the Attorney’s Office of the Southern District of New York on July 25, Richard Castro – who went by the pseudonyms “Chemsusa,” “Chems_usa,” “Chemical_usa” and “Jagger109” while conducting his illicit trade – is alleged to have sold carfentanil, fentanyl, and a fentanyl analogue called phenyl fentanyl on dark web markets including AlphaBay and Dream Market from November 2015 to March 2019.
FBI Suspects Insider Trading in Long Island Iced Tea Blockchain Pivot

FBI Suspects Insider Trading in Long Island Iced Tea Blockchain Pivot

The U.S. Federal Bureau of Investigation (FBI) is hunting for evidence of insider trading and securities fraud relating to the 2017 blockchain pivot of then-beverage firm Long Island Iced Tea (LTEA). According to a search warrant request, first reported by Quartz, the FBI is seeking to gain access to encrypted messages held on a phone seized in different case involving involving securities fraud at another firm, Kelvin Medical.
New Jersey Man Indicted Over Unlicensed Bitcoin Exchange

New Jersey Man Indicted Over Unlicensed Bitcoin Exchange

A 46-year-old resident of the U.S. state of New Jersey has been charged with running an unlicensed bitcoin exchange. William Green of Monmouth County was indicted on one count of operating an unlicensed money transmitting business via the operation of a website called Destination Bitcoin. Through the site, he allegedly accepted more than $2 million in cash, turning the funds into bitcoin for customers for a fee, the New Jersey Attorney’s Office said in a press release on Wednesday.
AT&T Fails to Win Dismissal in $24 Million Crypto SIM-Swap Lawsuit

AT&T Fails to Win Dismissal in $24 Million Crypto SIM-Swap Lawsuit

Crypto investor Michael Terpin has won an early victory in his attempt to sue telecom giant AT&T Mobility over a SIM-swapping hack that saw him lose a claimed $24 million. In court documents published Friday, Los Angeles federal judge Otis Wright II ruled that AT&T must answer a lawsuit brought by Terpin for enabling the theft millions of dollars of cryptocurrency by giving access to his SIM card to hackers. While the telco had requested that the court dismiss the lawsuit in its entirety, the judge decided that AT&T should answer to Terpin’s claims of violation of the Federal Communications Act, breach of contract, and other legal violations.
London Metropolitan Police’s Facial Recognition Still has an 81% Error Rate

London Metropolitan Police’s Facial Recognition Still has an 81% Error Rate

Any advancement in the technology world needs to be applauded. This is true even when it comes to disruptive yet controversial technologies such as facial recognition. The London Metropolitan Police has been using this technology for some time now and is noting some progress. Only eight in ten technology-based “hits” are incorrect, which is a notable improvement compared to several months ago.  Facial Recognition Isn’t Always the Answer Anyone who lives in the United Kingdom may have kept tabs on how the London Metropolitan Police has begun experimenting with facial recognition technology.
South Korea Estimates 2-Year Losses from Crypto Crimes at $2.3 Billion

South Korea Estimates 2-Year Losses from Crypto Crimes at $2.3 Billion

Nearly 2.7 trillion won ($2.3 billion) have been lost to crimes involving cryptocurrency in the last two years, according to South Korean government data. Figures provided by the country’s justice ministry on Sunday indicate that losses from crypto scams, Ponzi schemes, embezzlement and illegal exchange transactions came to 2.
UK Announces ‘Dirty Money’ Crackdown, Including Tougher Crypto Regime

UK Announces ‘Dirty Money’ Crackdown, Including Tougher Crypto Regime

The U.K. government has drawn up an action plan aimed to combat financial crimes that it says will include “action on cryptoassets.” The new Economic Crime Plan from H.M. Treasury and the Home Office is aimed to overhaul the the way economic crime is tackled, building better cooperation between government, law enforcement and the private sector, according to an announcement on Friday.
Indian Police to Get Special Training to Spot Crypto Scams

Indian Police to Get Special Training to Spot Crypto Scams

The Ministry of Home Affairs in India plans to provide an all-expenses paid police training session to create “domain expertise” in cryptocurrency-related crime, according to a government filing. The two day course, titled “Investigation of Cases Involving Crypto Currencies,” will cover a wide range of educational components, including an introduction to blockchain technology, a discussion of standing legal traditions, and interpretations of major crypto crimes.
Third Defendant Pleads Guilty in Fake ID-for-Bitcoin Case

Third Defendant Pleads Guilty in Fake ID-for-Bitcoin Case

A third defendant pleaded guilty in a string of court cases against a Toledo, Ohio-based fake ID ring that is said to have netted over $4.7 million in bitcoin, according to a report by The Blade. Sarah Alberts, of Perrysburg, Ohio, admitted to charges of money laundering, conspiracy and knowingly possessing with intent to use unlawfully or transfer unlawfully five or more identification documents.
Multiple Individuals Arrested on Suspicion of Bitcoin Typosquatting

Multiple Individuals Arrested on Suspicion of Bitcoin Typosquatting

In the cryptocurrency world, there have been numerous scams over the past few years. Most of these ventures are shut down pretty quickly, but some tend to linger for quite some time. Typosquatting has been a real problem in the Bitcoin world. A joint collaboration between Europol, police agencies, and Eurojust resulted in multiple arrests throughout the European Union this week.  Bitcoin Typosquatting Ring is Brought Down For those who are unfamiliar with typosquatting, this criminal activity is quite worrisome.
Six Arrested Over Cloned Crypto Exchange That Stole €24 Million

Six Arrested Over Cloned Crypto Exchange That Stole €24 Million

A fake exchange website has managed to steal €24 million (over $27 million) in cryptocurrency from thousands of victims. European law enforcement agency Europol said in a press release Wednesday that six individuals have now been arrested over the scam in an operation that also involved the UK’s South West Regional Cyber Crime Unit and National Crime Agency, along with Dutch police and Eurojust.
$200,000 in Bitcoin Seized in Dark Net Drug Probe

$200,000 in Bitcoin Seized in Dark Net Drug Probe

U.S. authorities seized more than $200,000 worth of bitcoin after alleged drug manufacturer and dealer met with undercover law enforcement officers to exchange the digital currency for cash at a hotel in Norwood, Massachusetts. The arrest — which occurred on March 27, 2019 — was part of a wider investigation into a Boston-based drug syndicate that operated through the darknet site EastSideHigh.
Europol Developing ‘Serious Game’ to Help Train Crypto Crime Fighters

Europol Developing ‘Serious Game’ to Help Train Crypto Crime Fighters

Europol has revealed it’s developing a game aimed to teach law enforcement officers how to tackle crypto crime. Announced at the sixth Cryptocurrency Conference hosted at Europol’s headquarters from June 12–14, the European crime fighting agency said the game will allow officers to get “hands-on training and advice on tracing cryptocurrencies in criminal investigations.
Australia to Crack Down on Crypto Tax Avoidance Schemes

Australia to Crack Down on Crypto Tax Avoidance Schemes

The Australian Taxation Office (ATO) may soon crack down on major tax avoidance schemes using cryptocurrencies. According to a report from The Sydney Morning Herald on Thursday, the ATO is working on 12 tax avoidance cases involving abuse of crypto assets. Notably, the agency’s deputy commissioner, Will Day, said at least one of the cases involve a “global financial institution,” which is suspected of hiding assets and income details of taxpayers.
BitConnect Promoter Wanted Over Another Alleged Crypto Scam

BitConnect Promoter Wanted Over Another Alleged Crypto Scam

A promoter of the now-shuttered crypto fraud BitConnect has again been charged over a different claimed cryptocurrency scam. The Times of India reported Monday that police in the city of Ahmedabad, Gujarat, India, had received complaints that the promoter, Divyesh Darji, had been offering investors investment in a token called Regal Coin, claiming a possible 5,000-percent return.
SEC Moves to Halt Diamond-Linked Crypto ‘Ponzi Scheme,’ Freeze Assets

SEC Moves to Halt Diamond-Linked Crypto ‘Ponzi Scheme,’ Freeze Assets

The U.S. Securities and Exchange Commission (SEC) has taken action against what it alleges is a $30 million cryptocurrency scam based around supposed diamond investment. In a press release Tuesday, the commission alleged that defendant Jose Angel Aman operated a purported crypto business called Argyle Coin as a Ponzi scheme, using investments from new recruits to returns to pay previous investors.
Australian Government Employee Charged With Mining Crypto at Work

Australian Government Employee Charged With Mining Crypto at Work

A 33-year-old Australian government employee has been charged after he was caught mining cryptocurrency at work. In a media release Tuesday, the Australian Federal Police (AFP) alleged that the IT contractor from the Sydney suburb of Killara had modified government computer systems to mine cryptocurrency worth over AU$9,000 (US$6,184) for his own gain.
Crypto Investor Awarded Over $75 Million in SIM-Swapping Hack Case

Crypto Investor Awarded Over $75 Million in SIM-Swapping Hack Case

U.S.-based cryptocurrency investor and entrepreneur Michael Terpin has won over $75 million in a lawsuit related to a SIM-swapping fraud. Terpin filed the case against 21-year-old Nicholas Truglia earlier this year, saying the Manhattan resident had defrauded him of cryptocurrencies after gaining control of his cellphone number. California Superior Court has now ordered Truglia to pay Terpin $75.8 million in compensatory and punitive damages, Reuters reported Saturday citing court documents.