A U.S. Federal Bureau of Investigation agent admitted to stealing $1 million in cryptocurrency from a Russian target during an official investigation.
The agent, whose identity remains under court seal, pleaded guilty to wire fraud and money laundering. The theft occurred while the agent was responsible for seizing digital assets linked to the Russian individual. Instead of securing the funds for the U.S. government, the agent diverted the cryptocurrency to personal wallets through multiple transactions over several months.
The stolen assets included Bitcoin and Ethereum. Such cases complicate digital asset seizures, which require meticulous chain-of-custody documentation.
The FBI and other federal agencies are developing specialized units and training programs for handling cryptocurrency to prevent internal malfeasance and protect the integrity of evidence.
The agent is scheduled for sentencing Nov. 15 in federal district court. Prosecutors are seeking a prison sentence and full restitution of the stolen funds.
