One Victor Umeakuka has been arrested for allegedly hacking into bitcoin wallets and stealing coins, which he illegally resells.
Posing as Toby Campbell on WhatsApp, the 26-year-old was said to have used the proceeds of his crime to buy several cars, including a Mercedes Benz C300 for N6.5m.
The suspect, who was arrested by operatives of the Economic and Financial Crimes Commission in Abuja, reportedly confessed to have hacked into the bitcoin wallets while posing as a coin miner.
The graduate of Physics and Astronomy was arrested at House 9, Mobile Michael Crescent, Gwarimpa, Abuja, following an intelligence report that the building was a nest of fraudsters and Internet scammers.
The acting EFCC spokesman, Tony Orilade, who confirmed the arrest, said a search warrant was executed at the residence, leading to the recovery of laptops of different makes, phones, modems, SIM cards and other items.
He stated, “In the course of the investigation, preliminary findings revealed that the suspect is into the bitcoin business and uses his bitcoin account to buy and sell stolen bitcoins. He confessed that he hacks into other people’s bitcoin wallets, transfers the contents, which he then sells to unsuspecting members of the public.
“He uses the name, Tony Campbell to pose as a bitcoin miner.”
In a related development, the commission has also apprehended one Chidiebere Chiama for Internet fraud and hacking into bitcoin wallets.
The suspect reportedly told investigators that he used Blockchain to receive stolen bitcoins, which he converted to cash for as much as $1,000.
“The suspect claimed he has not benefited much from the business” the commission stated.
The two suspects were said to have entered into a plea bargain with the EFCC.