New York: U.S. prosecutors have charged Ronald Spektor, 23, from Brooklyn, New York, after he tricked almost 100 Coinbase customers into handing over their passwords, resulting in an estimated $15 million worth of cryptocurrency theft.
According to a complaint, Spektor started his scheme in April 2023, calling up Coinbase customers to say that they needed to shift their coins to a new wallet due to security risks. Following his arrest on December 4, Spektor has been held on Rikers Island correctional facility, with the demand for bail being $500,000 in cash or a $1 million bond.
Investigators interviewed some 70 victims of the fraud, all of whom gave in to the scheme, believing that Spektor was a legitimate employee.
“Each Coinbase user confirmed that prior to the loss of their cryptocurrency, said Coinbase users were contacted over the phone by someone who purported to be a legitimate Coinbase employee,” prosecutors said in the complaint.
After getting their passwords, Spektormoved the cryptocurrency to his own wallets, the complaint added. The stolen funds were then converted into cash or laundered through coin swapping services.
The incident highlights the growing security risks posed by cryptocurrencies, in which criminals use social engineering rather than technical hacks to steal from retail investors. Coinbase has previously faced challenges with impersonation schemes targeting users through stolen personal data.
