Feds arrest couple, seize $3.6B in hacked Bitcoin funds

Post by hedora » Tue, Feb 08, 2022, 5:47 PM UTC

duxup wrote: post #74

caseysoftware wrote: post #65

I'm sitting here trying to understand their mindset. They had to know what kind of scrutiny would be on those coins forever. At the time of the theft, the coins are worth $100M+ and they can't touch them. Even worse, anything they do with them will be monitored, researched, dug into, and everything else from law enforcement, amateur detectives, and every major tech+crime group. Fast forward to now and the coins are w…

I was wondering about this. I would think the most obvious path would be to find some other criminals (now you've got new risks) who don't care about the provenance of the coins, will pay cash for some coins at a discount, and you somehow launder that cash.... Could at least get a couple bucks from it, possibly.

Post by knownjorbist » Tue, Feb 08, 2022, 5:48 PM UTC

runeks wrote: post #60

pcthrowaway wrote: post #52

Earlier quoted context omitted.

With some things, such as the stablecoin USDC, the issuer can prevent specific addresses from transferring them

Which is only possible because it's centralized

Post by iskander » Tue, Feb 08, 2022, 5:49 PM UTC

AlexanderTheGr8 wrote: post #64

> “After the execution of court-authorized search warrants of online accounts controlled by Lichtenstein and Morgan, special agents obtained access to files within an online account controlled by Lichtenstein,” the press release said. “Those files contained the private keys required to access the digital wallet that directly received the funds stolen from Bitfinex, and allowed special agents to lawfully seize and rec…

Post by [deleted] » Tue, Feb 08, 2022, 5:50 PM UTC

caseysoftware wrote: post #65

I'm sitting here trying to understand their mindset. They had to know what kind of scrutiny would be on those coins forever. At the time of the theft, the coins are worth $100M+ and they can't touch them. Even worse, anything they do with them will be monitored, researched, dug into, and everything else from law enforcement, amateur detectives, and every major tech+crime group. Fast forward to now and the coins are w…

Post by duxup » Tue, Feb 08, 2022, 5:50 PM UTC

rjbwork wrote: post #85

duxup wrote: post #68

Earlier quoted context omitted.

Well you don't want to lose those keys ... there is a bit of a conundrum there (granted you don't have to do it the way they did either). As far as how exactly they got caught, there was a reward offered by the company it was stolen from. It may have been someone tipped the feds off for the reward.

I'm not invested in crypto or really at all interested in it. That said, my mentor seems pretty excited about it and is pretty heavily invested as of the past few months. I advised him to do something like https://en.wikipedia.org/wiki/Shamir's_Secret_Sharing and distribute it across a wide number of storage mechanisms, physical, digital, and custodial. For instance, in google drive, in drop box, in a bank safety dep…