The US government takes $11m USDT to court for allegedly being stolen by Coinbase reps

A California resident lost more than $11million after sharing their Coinbase credentials with a fraudster in April. There might be a way out. A group of U.S. attorneys led by Tracy Wilkinson filed a civil lawsuit in the United States District Court for Central District of California on September 17. They claimed that they had identified four digital wallets that contained more than 9.8 Million Tether (USDT). This was used in wire fraud, computer fraud and money laundering. According to court documents, the true owner of the funds is a California resident who was scammed out of more than 200 Bitcoins (BTC) in April 2021 by an imposter of Coinbase customer service. The representative claimed that the victim’s account was frozen because of the transaction limit increase and that the victim was being involved in wire fraud, computer fraud, and money laundering. The fraudster suggested that the victim upgrade to Coinbase Prime. The proceeds of the fraud will be forfeited to America if the plaintiff prevails. Davis added: This is part of a growing trend in which the federal government seeks to use its civil forfeiture authority for custody of digital assets. As digital assets become more popular, it is likely that civil forfeiture actions such as this one are becoming more common. The federal government is trying to use its civil forfeiture authority to obtain custody of digital assets. Silver stated that stolen digital assets are a major problem in the space. It is important to recover stolen cryptocurrency. As Cointelegraph reported, the U.S. The U.S. Marshals Service (USMS) tapped digital asset platform Anchorage Digital in July to take custody of and serve digital assets that were subject to civil forfeiture. Some estimates suggest that USMS had seized over 185,000 BTC in connection to federal crimes between 2014 and 2021.

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