Party’s Over for Crypto Scammers Who Went on a Spending Spree After a $240 Million Bitcoin Theft
Malone Lam's plea hearing approaches in the $240 million bitcoin social engineering theft; the case highlights surging crypto fraud and limited enforcement.
Malone Lam, accused of organizing a social engineering attack that stole over $240 million in bitcoin (4,100+ BTC) from a Washington, D.C. resident in August 2024, has a plea agreement hearing set. Callers impersonating Google and Gemini staff tricked the victim into revealing security codes. Lam and 17 co-defendants spent lavishly before FBI arrests; crypto investment fraud complaints to the FBI rose nearly 50% in 2025 while DOJ disbanded its crypto crimes unit.
- Victims tricked via fake Google and Gemini exchange calls into revealing account security codes.
- Over 4,100 BTC (~$240M) stolen; funds laundered through multiple exchanges.
- Serrano exposed by unmasked IP linked to $47,500/month Encino rental; $37M recovered from Chetal.
- FBI crypto fraud complaints up nearly 50% in 2025; DOJ disbanded its crypto prosecution unit.
- Researcher Allison Nixon warns The Com's crypto fraud will spread without more law enforcement resources.
- Products
- Bitcoin
- Threat actors
- Malone LamVeer ChetalJeandiel SerranoThe Com
- Organizations
- FBIJustice DepartmentGemini
- Countries
- United StatesSingapore
From the original article
5 min read at securityweek.com
The scammers purchased fleets of sports cars, flew on private jets, hired security guards and rented mansions in Miami and the Hamptons. The post Party’s Over for Crypto Scammers Who Went on a Spending Spree After a $240 Million Bitcoin Theft appeared first on SecurityWeek.
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