Two suspects, Malone Lam, 20, a Miami-LA commuter, and Jeandiel Serrano, 21, of LA, have been arrested in connection to a $243 million crypto heist.
The drama unfolded on August 19, when a Genesis creditor fell for an elaborate social engineering ploy. The crooks, posing as Google support, used a fake number to manipulate the victim into resetting their Gemini two-factor authentication, ultimately siphoning the funds into a rigged wallet.
Talk about shiesty.
1/ An investigation into how Greavys (Malone Iam), Wiz (Veer Chetal), and Box (Jeandiel Serrano) stole $243M from a single person last month in a highly sophisticated social engineering attack and my efforts which have helped lead to multiple arrests and millions frozen. pic.twitter.com/dcY1e9xsPd
— ZachXBT (@zachxbt) September 19, 2024
Swift Justice Against Malone Lam: Arrests and Investigations
With $243 million in dirty money, the thieves spread their stolen Bitcoin across 15 exchanges to blur their tracks.
Malone Lam and Jeandiel Serrano were charged with conspiracy and laundering and await their day in federal courts in California and Florida.
In a collaborative effort, CFInvestigators, zeroshadow, ZachXBT, and Binance Security locked down over $9 million from Malone Lam’s stash. They’ve already returned $500,000 to the original owner.
“CFInvestigators, zeroshadow, ZachXBT and Binance Security used this information to freeze more than $9 million, with $500,000 being returned to the victim.”
The swift crackdown highlights the seamless teamwork between blockchain detectives and the law. ZachXBT, a key player in the hunt, mapped the trail of stolen cash back to high-end brokers peddling luxury cars, watches, and designer threads. Their extravagant shopping spree unwittingly paved a path straight to their downfall.
The Broader Implications
This incident highlights how you need to be VERY freaking careful, especially with the bull run back on.
With crypto back on the rise after the Federal Reserve rate cuts, we will surely see a new assortment of scams. Ostensibly, there is nothing on the level of FTX or Celsius. Yet this case is a wake-up call for beefing up security and staying sharp out there.
While Lam and Serrano’s arrest marks a significant victory in the fight against crypto-related crimes, it also underscores that law enforcement means business and reminds everyone to tread carefully online.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
