One earlier defendant, Jeandiel Serrano, was dropped from the updated filing. The DOJ says some of those charged are behind bars, while two are believed to be living in Dubai.
Additional 12 Defendants Charged in RICO Conspiracy for over $263 Million Cryptocurrency Thefts, Money Laundering, Home Break-Ins
Based on reports, this ring started as a group of friends playing online video games in October 2023. They then moved on to hacking databases and making cold calls to trick crypto holders into handing over access.
According to investigators, Lam even hacked a victim’s iCloud to track their movements, and a partner nicknamed “The Accountant” or “Goth Ferrrari” would break into homes to steal hardware wallets.
A peel chain works by shifting funds through many wallets and peeling off small amounts each time. Those steps made it harder for law enforcement to trace the money, officials noted.
Based on reports, the suspects blew the gains on high‑end nightlife, exotic cars and luxury goods. They spent as much as $500,000 in one night at clubs.
They rented 28 exotic cars—some valued at $3.8 million each—and bought designer bags, watches and clothes. Fake IDs were used to rent homes and private jets, all paid for with the stolen Bitcoin.
This case illustrates how rapidly tech‑savvy youngsters can become criminals. It indicates that hardware wallets require good physical security and that digital accounts must employ multi‑factor authentication more than SMS.
Crypto owners must be cautious against uninitiated support calls and employ services that lock down iCloud and email accounts.
All defendants are charged under RICO and face counts of wire fraud and money laundering. Court records show they could get decades in prison if convicted.
The DOJ says this superseding indictment sends a clear message: no matter how complex the scheme, law enforcement can break it apart.
Featured image from Outseer, chart from TradingView
