In August 2024, a crypto fraud ring allegedly stole more than 4,100 bitcoin, worth about $240 million at the time, through a social engineering attack, according to Apnews. The crew, made up of young people, then moved fast. They blew the money on luxury cars, rented mansions, private jets, and personal security.
The alleged ringleader, 22-year-old Singaporean national Malone Lam, reportedly dropped $569,000 in a single night at a Los Angeles nightclub. Investigators say the attackers posed as employees of Google and the crypto exchange Gemini, tricking victims into giving them access to Google Drive accounts and handing over security codes, which let the group transfer bitcoin. After that, they washed the funds through several exchanges and money laundering middlemen.
And their flashy spending caught up with them. One suspect exposed his IP address while trying to conceal nearly $30 million in stolen crypto, which led police to a rented mansion in California. Another suspect was discovered with $37 million in stolen crypto assets. Lam allegedly spent the stolen money on $2 million worth of watches and more than 30 vehicles from Porsche, Lamborghini, and Ferrari.
Prosecutors have charged 18 defendants altogether. Lam is expected in court this Tuesday for a plea agreement hearing. The U.S. Department of Justice has already sentenced several co-conspirators, and the case is still ongoing.