Teen Sentenced for Massive Bitcoin Theft
A Canadian teenager has been sentenced after being found guilty of stealing $37 million worth of cryptocurrency and hacking into several popular social media accounts. The digital heist, which took place in 2020, shocked many and raised alarm about the growing threat of cybercrime.
The crime began when the teen used a method called SIM swapping. This trick allowed him to take control of a crypto investor’s mobile number by fooling the phone company. Once he had access to the phone number, he could bypass security features like two-factor authentication. This let him break into the investor’s crypto wallets and steal a large amount of Bitcoin and Bitcoin Cash.
At the time, the stolen cryptocurrency was worth about $37 million. After the theft, the teen tried to hide his tracks by breaking the stolen funds into hundreds of smaller transactions. These transactions were then sent through regular crypto exchanges, making it harder for anyone to trace the money. But his actions didn’t stop there.
Hacking Spree Uncovered Through Online Clues
As investigators looked deeper, they discovered more crimes linked to the same teenager. He had also been involved in phishing scams, which are fake messages or websites made to trick people into giving away private information like passwords. Several of these scams were linked to hacked accounts on X, the platform formerly known as Twitter.
In one major discovery, the teen was found to be offering access to an internal X control panel that could be used to take over anyone’s account. This panel was secretly sold online in 2022 for 250 Ethereum, a type of cryptocurrency.
Once sold, the buyers used it to hack into more than 10 popular accounts. These hacked accounts were then used to post phishing links, tricking followers into handing over valuable digital assets. Millions of dollars were stolen through this method.
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The hacker tried to remain hidden by using fake ID documents at first. But later, he made a mistake by submitting his real information on one of the platforms he used to sell illegal access. He withdrew the money from the sale using a tool called Tornado Cash, which is designed to make crypto transfers hard to trace. Then he sent the funds to a crypto gambling site account registered under his name.
Investigators followed the trail using blockchain data. They were able to link the wallet he used to both the X account hacks and the original $37 million Bitcoin theft. Some of the victims named in the case included well-known digital artists and NFT communities who suffered major losses due to the hacks.
Jail Time and Heavy Fines Ordered by the Court
The teen was formally charged by police in Hamilton, Ontario, in November 2021. At that time, he was still underage. Because of this, his identity was kept hidden, and no photo was released. Many experts believe this secrecy may have helped him continue committing cybercrimes even after being identified.
Now, he has been sentenced to 12 months and 1 day in prison. After that, he will be placed under supervised release for three years for each of the crimes, although these sentences will run at the same time. The court has also ordered him to pay a $400 special court fee, more than $248,000 in restitution to his victims, and an additional $60,000 as a fine.
Authorities were able to recover about $5.4 million in cryptocurrency during their investigation. However, over $31 million is still missing. It is not clear whether this money will ever be recovered.
Cases like this are becoming more common. Cybercrime researchers have reported that SIM swapping attacks increased by more than 1,000 percent in 2024. Phishing scams are also becoming more advanced, often using tools powered by artificial intelligence to trick people more easily. This case stands out because of the teen’s age, the amount of money stolen, and the widespread damage caused by his actions.
