Even digital assets face physical theft risk as $3.5M crime spree highlights

Usually when we hear about the theft of digital assets they involve online hacking or phishing attacks, often from thousands of miles from a victim’s home.

However, a Florida court has sentenced a man to 47 years in jail for his involvement in a string of cryptocurrency thefts that stole $3.5 million from victims. A total of 12 men have now been sentenced for their part in the crimes with

The case serves as a warning to crypto investors and their financial advisors that there can be a very physical aspect to the theft of digital assets, with the conspirators using SIM swapping and violent home invasions to access their victims’ assets.

Court documents and trial evidence revealed that the men held victims at gunpoint, assaulted them, and bound them with plastic cable ties.

Having gained control of victims’ mobile phones by using social media or phishing to gain a new SIM card from their carriers, the fraudsters were able to access digital asset accounts and transfer cryptocurrency from exchanges.

Later, they also used home invasions where victims were often beaten and tortured, and on occasion kidnapped. The men gained access to computers allowing them to steal digital assets and cash and other valuables were also stolen.

“Throughout the conspiracy, the conspirators communicated via an encrypted messaging application to plan their crimes. They identified targets and discussed how to gain entry to homes, the tools required to carry out the crimes, the technical aspects of cryptocurrency, and the patterns of life of their targets. They also circulated pictures of their targets and their targets’ homes,” said the US Justice Department’s Office of Public Affairs.