Canadian man charged with stealing $65m using crypto exploits

Crypto Currency

Before I continue, I want to amke this known that I am no expert in this, and what this guy did is the second individual who will be charged with money laundering as we’ll get to here in a bit.

The U.S. Justice Department has charged a Canadian man with stealing roughly $65 million after exploiting two decentralized finance (DeFI) protocols.

DeFI platforms are blockchain-based systems that facilitate peer-to-peer financial services, eliminating the need for conventional centralized financial intermediaries like banks or brokerages.

These platforms deliver various financial services related to digital assets, enabling their users to lend, invest, earn interest, and trade assets through smart contracts and decentralized applications (dApps).

As revealed in court documents, 22-year-old Andean Medjedovic allegedly exploited vulnerabilities in the automated smart contracts used by the KyberSwap and Indexed Finance decentralized exchange aggregators and operators of digital token liquidity pools on the Ethereum network.

I’m not going to cover everything that he supposedly did according to the linked court documents, because that’s the majority of the article.

What you should know from this is the following paragraph which says:

Medjedovic is also accused of laundering proceeds from his fraudulent operations through transactions that concealed the funds’ source by using crypto exchange accounts opened using false identification, a cryptocurrency mixer, and swap and bridging transactions.

So the biggest question is what is he being charged with?

He is charged with one count of wire fraud, one count of unauthorized damage to a protected computer, one count of attempted Hobbs Act extortion, one count of conspiracy to commit money laundering, and one count of money laundering.

If found guilty, Medjedovic could face a maximum sentence of 10 years for unauthorized damage to a protected computer and up to 20 years for each of the other charges.

How about paying back restitution while you’re at it?

Good going!

Canadian charged with stealing $65 million using DeFI crypto exploits is the article if you wish to give it a look.

Have fun!

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