US hacker faces 20-year prison sentence over $37m crypto theft

Evan Frederick Light, 21, faces a maximum sentence of 20 years in prison for stealing $37 million worth of crypto from an investment holding company in Sioux Falls, South Dakota.

The U.S. Department of Justice announced in a press release on October 1 that Light was charged with Conspiracy to Commit Wire Fraud and Conspiracy to Launder Monetary Instruments.

The maximum penalty for each indictment is 20 years of probation and/or a fine, three years of supervised release, and a special assessment of $200 to the Federal Crime Victims Fund.

In February 2022, Light attacked the computer servers of an investment firm to access customer information and steal cryptocurrencies from 600 customers with the help of an unidentified accomplice.

Light used the identity of the investment holding companies’ clients and used that information to infiltrate the company’s servers. After successfully gaining access to computer servers, he was able to access the accounts of hundreds of other customers and steal their digital assets listed at the investment holding company.

The stolen cryptocurrency was then distributed to various locations around the world, including multiple mixing services and gambling sites. This was all done in the hopes of erasing his digital footprint and making it harder to trace the funds.

U.S. Attorney Alison J. Ramsdell said this case demonstrates the U.S. Attorney’s Office and the FBI’s commitment to combating cybercrime, especially as it relates to the rapid evolution of digital assets.

“Today’s guilty verdicts should serve as a reminder that this Office and our law enforcement partners will bring cybercriminals to justice, no matter how sophisticated their crimes,” Ramsdell said in the statement.

Americans lost more than $5.6 billion to crypto scams in 2023, according to a recent FBI report released on September 9.

In 2023, the FBI Internet Crime Complaint Center received more than 69,000 reports of financial fraud involving cryptocurrencies, primarily Bitcoin(BTC), Ethereum(ETH), and Tether(USDT).