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Brooklyn man sentenced up to 12 years for $15.9 million Coinbase phishing
Prosecutors said the scheme took crypto from about 100 users, then laundered it through multiple exchanges before converting proceeds via cash-out points.
The Block reports that Ronald Spektor, a Brooklyn resident, was sentenced to between four and 12 years in prison for a Coinbase social engineering and phishing scheme.
Prosecutors said Spektor posed as a Coinbase representative and told about 100 users their assets were at risk from a hacker, persuading them to move their cryptocurrency to a wallet he controlled.
The court filing says Spektor pleaded guilty on Sept. 2 to a 31-count indictment that included first-degree money laundering, first-degree grand larceny, and first-degree criminal possession of stolen property, after prosecutors alleged losses totaling $15.94 million.
According to The Block, Spektor was ordered to forfeit more than $500,000 in assets and pay nearly $16 million in restitution, and prosecutors described the laundering process as involving multiple swaps across crypto exchanges before proceeds were converted through cash-out points.