Cryptocurrency thefts happen frequently and are very profitable for those who do, but there are times when justice is enough to catch those responsible. The United States Department of Justice announced that they managed to recover one of the largest “crypto spoils” in history, and they did so nearly 10 years after the crime was committed.

Robbery. In 2012, James Zhong managed to hack Silk Road, the famous online store on the Dark Web, where drugs or weapons are sold. At that time, this network was frequently attacked, and Zhong managed to steal more than 50,000 bitcoins, which he later transferred to various wallets under his control. In recent years, photos on social media have shown Zhong on yachts, next to private planes, or in the best seats at football matches.

caught. As reported on CNBC, in 2014, Zhong formed a Georgia-based company called JZ Capital LLC. He was interested in venture capital investments, but in his LinkedIn profile, now defunct even from Archive.org, he declared himself “a great early investor with a thorough knowledge of bitcoin’s inner workings.”

A Raspberry Pi and a pot of popcorn. Analysis of the blockchain was crucial to recovering 50,676.17851897 Bitcoin, but among them were those found in an underground vault, and attention was on a miniPC (“single board computer” refers to the official document) apparently a Raspberry Pi. This badge was hidden inside a popcorn box in one of the bathroom cabinets in Zhong’s Georgia home.

They were worth $3,300 million (less now). While the Justice Department is announcing it now, the bitcoin raid and recovery took place in 2021. At the time, these 50,676 BTC were equivalent to $3.3 billion, but the decline of these (and other) cryptocurrencies meant that they were worth today. A little over $1,000 million.

Second-largest “crypto looting” in US history. With this operation, the United States manages to seize the second largest “crypto booty” in history. The first was essentially similar: they managed to snatch around 70,000 bitcoins from Silk Road in 2020 as well.

Zhong admits. James Zhong pleaded guilty to telegram fraud on November 4. The maximum sentence is 20 years in prison, but the final sentence will not be given until February 22, 2023.

Picture: DALL E 2