tl;dr
U.S. prosecutors charged 12 more individuals linked to a cybercrime ring that stole over $263 million in cryptocurrency through social engineering and hacking. The group, active from October 2023 to March 2025, included U.S. citizens and foreign nationals aged mostly 18 to 21. Charges include RICO c...
U.S. prosecutors have charged 12 additional individuals linked to a cybercrime ring that stole over $263 million in cryptocurrency through social engineering and hacking from October 2023 to March 2025. The suspects, mostly aged 18 to 21 and including both U.S. citizens and foreign nationals, face charges including RICO conspiracy, money laundering, wire fraud, and obstruction of justice.
The group operated various roles such as database hackers, impersonators, and launderers, utilizing mixers, peel chains, VPNs, and shell companies to launder stolen crypto into cash. One member even committed physical burglaries to steal crypto wallets, highlighted by a July 2024 break-in in New Mexico. Prosecutors detailed spending on at least 28 exotic cars—some valued at $3.8 million each—private jet rentals, extravagant nightclub bills, Hermes bags, and the rental of luxury homes in the Hamptons, Los Angeles, and Miami.
Fascinatingly, bulk cash was smuggled hidden inside stuffed Squishmallows toys. Seized assets include Lamborghinis, Ferraris, Rolls-Royces, designer clothes, watches, champagne, and a custom yellow teeth grill. Lead organizer Malone Lam allegedly maintained criminal operations from pretrial detention, directing luxury deliveries to his partner. The FBI and IRS continue their investigation, supported by offices in Los Angeles and Miami.
This case underscores a dramatic surge in cybercrime, with the FBI reporting $16.6 billion in internet crime losses in 2024—a 33% increase from 2023—with crypto fraud comprising a large portion. The cybercriminals’ ability to convert stolen digital assets into lavish real-world lifestyles highlights the evolving challenges law enforcement faces in the cryptocurrency landscape.