A US senior lost over $330 million in Bitcoin after falling victim to a sophisticated social engineering scam. The theft, one of the largest individual cryptocurrency heists on record, was uncovered by independent investigator ZachXBT, who tracked the stolen funds and collaborated with Binance to freeze $7 million of the loot.
The scam involved manipulating the victim into handing over access to their Bitcoin wallet. The thieves then rapidly moved the stolen cryptocurrency through multiple exchanges before converting it into Monero, a privacy-focused cryptocurrency. This caused Monero’s price to surge.
Tracking the Stolen Funds
ZachXBT, along with other investigators, including tanuki42 and Crypto Forensic Investigators, followed the trail of the stolen Bitcoin. They discovered that the thieves used at least six exchanges to launder the funds. Binance worked with the investigators to freeze approximately $7 million of the stolen amount.
The investigation has identified two suspects. One, operating under the aliases “Nina” or “Mo,” is believed to be running a call center scam operation in Camden, UK. The other, known as “W0rk,” allegedly assisted with the digital infrastructure used in the attack. Both individuals have deleted their social media accounts since the findings were made public.
Key Takeaways
- The stolen Bitcoin was worth over $330 million at the time of the theft.
- $7 million of the stolen funds were frozen by Binance.
- Two suspects have been identified, one operating a call center scam in the UK.
- The thieves used multiple exchanges to launder the stolen cryptocurrency.
The incident highlights the risks faced by cryptocurrency users, even experienced ones. It underscores the importance of robust security measures and education on social engineering attacks. As the investigation continues, international cooperation will be crucial in tracking down the suspects and recovering the remaining stolen funds.
The cryptocurrency community is reminded to remain vigilant and take necessary precautions to protect their assets. While the recovery of $7 million is a positive step, much work remains to be done to address the aftermath of this significant theft.