Singapore Man Accused of Stealing $240M in Bitcoin Set to Plead Guilty
A 22-year-old Singapore man accused of helping steal over $240 million in Bitcoin from a wealthy investor is set to plead guilty in one of the largest cryptocurrency thefts in U.S. history.
Malone Lam, who prosecutors have identified as a suspected ringleader, is scheduled for a plea agreement hearing on Tuesday in federal court in Washington, D.C.
Lam and his alleged co-conspirators used a sophisticated 'social engineering' attack to trick the victim into handing over access to his digital holdings. They contacted him while posing as representatives of Google and the Gemini cryptocurrency exchange, warning him that his accounts had been compromised.
The scammers convinced the victim to give them access to his Google Drive and provide security codes that allowed Lam and others to siphon off more than 4,100 Bitcoin, then worth over $240 million. They moved the stolen cryptocurrency through multiple exchange platforms and used money laundering specialists to convert portions of it into cash.
Lam and his associates allegedly spent lavishly on luxury cars, private jets, mansions, and wild nights out. Lam alone is accused of spending over $4 million at Los Angeles nightclubs in a single month, including more than $569,000 during a single night out. He also purchased a $2 million watch and over 30 vehicles, including custom Porsches, Lamborghinis, and Ferraris.
Eighteen defendants have been charged in connection with the case, with ten already pleading guilty. A prosecutor estimated that federal sentencing guidelines could call for a prison term of at least 14 years if Lam is convicted.