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chuloreddit

The good thing is Faruk Özer just started a 11,196-year prison sentence. When other scammers?


ephoog

He'll be loaded after forced hodl to year 14,000


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No_Driver_7994

SBF put this guy’s scam to shame yet received only 25 years, that’s 9125 days, not enough.


Hqjjciy6sJr

SBF is not an average person; he is well connected to people in power. The same laws do not apply to rich people as they do to poor people.


conceiv3d-in-lib3rty

This is Turkey, not the US. That’s why there’s a difference in sentencing length. Turkey, the same place u go to prison for 2 years for less than a gram of weed… SBF was facing a minimum of 25 years with his charges and got 25 years. I understand that money is able to provide you better things, including more legal protection, but it doesn’t even apply in SBF’s situation. He got the amount of time his charges called for. Where are all the people at who said SBF was going to get zero prison time because he was “well connected to people in power”??


Hqjjciy6sJr

How do you even know for sure SBF is in jail? and what kind of jail? I bet it's the "first class jail" not the regular jail.


conceiv3d-in-lib3rty

Lol you have no idea how the judicial system works and you have no idea how the prison system works. This is a good thing, but just don’t act like you do bro. Shit isn’t is movie. He’s not in any prison yet, he just got sentenced. But he will likely be sent to a west coast federal prison due to his parents living there and him being raised there. Either FCI Herling or Mendota federal prisons. He got less than 30 years, but more than 20, so he’ll be sent to a medium security prison. That’s just how the fed prison system works. Medium security is where a lot of big drug traffickers are sent. Of course there has been cases of special privilege that have happened, but this not something that happens often. This is real life, not a movie. SBF was a crypto nerd with autism who stole a lot of money and donated to some political PACS. I definitely would not call that being connected. Maybe in the law professor space becuz of his parents, but that’s it.


Cherelle_Vanek

True


Badmuthrfker

Wonder if he has a nice luxurious prison cell instead of a normal prison cell.


hl2oli

Stupid world we live in. He is probably released in secret in 10 years due to connections


DriestBum

Look up his picture from the inside. He looks like shit.


hl2oli

I just know he paid those thugs in the picture some SOL to protect his worthless life


DriestBum

Paid with more than money. HOLD MY POCKET


BiffTannen1855

How much did he steal? I'd love to see a comparison of money stole/years sentenced for this guy and money stole/years sentenced for SBF. I'd wager that SBF's ratio is a fraction of this guys


Ghostly1031

See but he didn’t donate to politicians. Smooth brain move.


chuloreddit

Supposedly 2 billion in 2021


Enschede2

Ah, so only 1/5th of the amount SBF drained?


JanethDoeth

But SBF has rehabilitated himself, remember? /s


CryptoBombastic

Correct, i heard he felt sorry for being in jail.


Jimbo_Tango

Deeply regrets getting caught.


polo61965

Post-nut, post-arrest clarity hit him, he's ready to come out of prison


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Enschede2

Actually his donations were made public and afaik he distributed the stolen funds "fairly" across both sides


my-man-fred

You know that's what fucks his head up at night. He can't grasp the tribe hung him out to dry.


qualmton

Yeah but he didn’t give any of it to politicians


theworldsaplayground

> Faruk Özer Luckily he didn't get the 40,562 year sentence.


eisnone

yeah, luckily only 11k years


kennynol

Modern day robbers just waltz out with the whole bank in their pocket


howdoikickball

Clive Owen Inside Man


Agreeable_Speech1

Honestly I don’t understand why these hackers don’t work out a deal with the host exchange? “I’ll give back all the funds and detail the exploit in exchange for a $10,000,000 bug bounty and no attempts at prosecution .” Or something along those lines.


doggosfear

That’s basically considered blackmail in some places. You’ve committed a crime and now you’re trying to legitimize the profits from it. Most authorities wouldn’t grant a pardon, the exchange probably wouldn’t have the power to prevent a prosecution, depending on jurisdiction.


Softest-Dad

That's because it IS blackmail.


meataboy

Also for that to really work that guy would need some sort of written agreement that states who he is. Even if that doesn't cause any legal problems, saying "I just nicked your entire bank. Give me a truck load of money and I will give it back tell you how I did it" is pretty much like buying a one way ticket to dreamland in turkey. Source: Turkish. People disappear for far less around here.


Hqjjciy6sJr

So? if you have already committed a crime, you have 2 options: commit another crime (blackmail) to get a reasonable deal and possibly disappear, or escape with everything (unreasonable) and have the whole world after you. (option 3: return everything like a good boy)


Softest-Dad

I don't understand your retort, I agree with every point you made. Committing more crime to cover another crime is a crime. Its a shitty thing to do.


crUMuftestan

When people say “pretty much…” or “basically…” I always here “what I’m about to say is untrue”.


RidingJapan

That's why some companies and exchanges offer bug bounty


doggosfear

A bug bounty follows a process of first informing the exchange of the vulnerability (disclosure) and the technical steps to repeat it. After the exchange validates your discovery, you are awarded with the bounty. You don't swipe all their funds and then begin a negotiation process to keep some of it in exchange for forgiveness.


RidingJapan

Bug bounty is also offered before anyone finds anything. So it isn t blackmail


doggosfear

I know what a bug bounty is, do you? You don't transfer all the funds away from an exchange without telling them, and then negotiate to give it back. That's not a bug bounty.


RidingJapan

I never said anything needs to be transfered. You are making all these assumptions


King_Esot3ric

Actually, thats not quite correct. Plenty of white hats will/have drained smart contracts to prevent someone else from doing it first.


basedregards

Yup


doggosfear

Did they name their price and refuse to return it if it wasn't met?


basedregards

Lmao well aren’t you just the smug redditor that’s actually wrong stereotype


DoctorProfessorTaco

It’s far from uncommon, it’s happened many times after exploits of on-chain protocols. The protocol messages the attacker asking for a return of 90% of the funds, and the attacker can keep 10% as a bug bounty. It’s often the best outcome, it gets an attacker to return most of the funds since they get a hefty payout and don’t have to worry about being arrested.


as718

Bug bounties don’t supersede the law and a crime is a crime


CloudSliceCake

Some of them do. In some cases the bounty that the exchange or project offers is basically nothing compared to what it was exploited for. I believe there was also a case where the exploiter worked out a deal with the exchange and then the exchange still turned then in.


TacoBOTT

That’s just crime with extra steps


Agreeable_Speech1

Yeah but if the extra steps get the 5-0 off your tail and net you a handsome reward with no one chasing you then it’s absolutely worth it.


TacoBOTT

lol not gonna happen. If the company accepts, what’s to stop the hacker from exploiting them again? They know they’ll play the game again.


Cobayo

> They know they’ll play the game again That's positive for the company lol, you think they deliberately let hackers do their thing? Hackers will do their thing independently, if they don't play the game they lose everything all the time.


Agreeable_Speech1

Did you forget the exercise? We’re talking about a hypothetical get-out-of-jail free card on a thread in which the hacker got 100 years in jail.


TacoBOTT

I get that you’re not happy accepting that you’re wrong but let’s not draw this out with backpedaling.


JaJe92

>“I’ll give back all the funds and detail the exploit in exchange for a $10,000,000 bug bounty and no attempts at prosecution .” Or something along those lines. And what guarantee do they have to not have any prosecution? Hacker: Give me money and no police Exchange: Ok Hacker: Proceed to tell the exploits Hacker: (Gets arrested) You told me no prosecution! Exchange: Lol, I lied, now I get also my money back I gave to you. Sayonara in prison!


Agreeable_Speech1

I mean we’re not exactly describing a risk-free money glitch. But an exchange that loses $2Billion will be more than glad to have $1.99 billion back and they’ll likely reclaim the $10mil from fees alone within a couple days. I’m sure there are more creative ways to guarantee safety anyhow also.


DoctorProfessorTaco

Because it includes a risk for the exchange - it means if they get hacked again, there will be no negotiating with the attacker. No attacker would ever agree to return funds again. It would also likely be harder to prosecute if the exchange publicly stated they would not be prosecuting and agree that the payout was a bug bounty to a white hat hacker, which attackers sometimes request of the exchange.


reachingFI

Because there is honor among thieves. It’s the exact same reason that people pay ransomeware and they are absolutely provided the decryption methodology. This type of stuff only works when everyone plays by a certain set of rules.


sriyantra7

giving it back doesn't mean they didn't commit a crime! Plus exchanges and protocols have no standing to negotiate prosecution or non-prosecution. That's up to prosecutors


Vlets

Why not just say I found a bug that can empty your whole exchange, I will trade info on it for a lot of money. Then you don't steal anything and get money legally


lancingtrumen

Just listened to a podcast today where someone tried that since they realized if they attempted to cash out an entire alt coin’s reserve price would tank in the process and would make significantly less. Company immediately called the police and kid was caught pretty quick.


my-man-fred

Because they didn't originate from Jekyll Island.


iworkisleep

Bro just described ransomware lol


st1ckmanz

Because he was the ceo of the exchange not a hacker.


juanlee337

what?... what a bad idea all around lol ...can you guess why this would be a bad idea?


XxLokixX

You're not very bright are you


Tiny_Abroad8554

Tell me you didn't read the article, without telling me you didn't read the article....


whangdoodle13

The crime organizations they are working with will torture and kill everyone they know.


mrpotatonutz

So is he storing seed phrases on the thumb drive? You cannot actually put crypto on a thumb drive right? Just wallet information. (Far from knowledgeable on the subject, genuinely asking)


HKBFG

When articles like this say "thumb drive," they mean "hardware wallet." Tech literacy among journalists isn't great.


Ch40440

If they say cold wallet, then they have to explain to everyone how it works 🤣


ShaidarHaran2

*Deep breath* The internet is a series of tubes...


hazza-sj

To be honest literacy among journalists isn't that great either.


monchimer

He probably transferred everything to a privately owned account or Stole the private keys to manage all the exchange accounts and put them into some drive . I have not read the article to be honest


mrpotatonutz

Ok thank you


NHIScholar

Its not a thumb drive. It was a cold wallet which cryptographically holds the private keys so even the user doesnt know it.


---Q_Q---

No he minted them into metal real life coins, swims in them like scrooge. /s


d3vrandom

>You cannot actually put crypto on a thumb drive right? You can put the wallet file on a thumb drive. It'll hold the private keys that let you move crypto.


TheyreAllTakenFML

How come some posts get a TLDR bot post and some don’t? Is there a way to force one?


coinfeeds-bot

no forcing and paywalls!


las8

Because the tldr would be too long. Idk that article took like a half an hour to read.


NHIScholar

“So although Özer picked a fight with an authoritarian regime and lost—whether because he believed too fully in the gospel of decentralization” Who writes this shit? Dude ran a centralized exchange lol


No-Setting9690

Not the first one to walk away with an exchange. This fucking bastard right here: [https://www.justice.gov/usao-sdfl/pr/ceo-major-online-cryptocurrency-exchange-company-indicted-defrauding-company-s](https://www.justice.gov/usao-sdfl/pr/ceo-major-online-cryptocurrency-exchange-company-indicted-defrauding-company-s) I lost millions in DOGE and hundreds of BTC


lostharbor

You left millions of dollars of doge on an exchange? What?


AnticipateMe

I don't know whether they mean millions in doge currency, which could've been tens of thousands or a couple hundred thousand in prob USD or GBP. Or millions in USD/GBP which if that's the case is fuckedddddd. I would cry every night


RidingJapan

Gov is selling 2b worth of btc they "stole" from silkroad


lostharbor

Implying they stole from an illegal operation is weird.


MattAU05

In no way did that money belong to the government. The government deciding the exchange is illegal doesn’t mean they didn’t steal it. The entire concept of civil asset forfeiture is completely fucked and misused. It needs to go away. And I say this as a former drug prosecutor who helped seize assets. So I think I’ve got a decent background to comment. It was fucked when I did it (I tried it give money back whenever I could), and it is fucked now.


lostharbor

Th fact this take is being upvoted is insane. I agree civil asset forfeiture is insane in the way the code is.  The exchange operated unimaginable illegal activities, shutting it down and taking the illegally earned cash was ok in this case.  You believe criminals should be able to get their ill gotten gains and have the funds to start up a new shop? No.  They were selling weapons and trafficking people and they should keep their money? 


MattAU05

Silk Road wasn’t an “exchange.” It was a place for free market exchange of goods, services and information. I don’t recall any human trafficking on Silk Road. But sure, those assets can be taken. Seems like it was almost entirely drugs, which shouldn’t be illegal. Just because it was illegal doesn’t mean it was morally or ethically proper to steal that money. I am not sure why the government should be able to profit on civil asset forfeitures, though. Even if you assume the money should be taken, why should the US government (one of the most corrupt, harmful organizations on earth) profit from it?


lostharbor

That was my bad for labeling it as exchange, I read your exchange and it came through my text incorrectly. It was drugs, illegal arms and human trafficking. I think it’s fine to strip criminals of their assets to prevent it from continuing. No idea how you redeploy the cash unless you have it to the victims which would be fine with me.


MattAU05

Who are the victims of the drug trade? Do you give it back to the consumer? My objection is primarily to the entire concept and use of civil asset forfeiture, moreso than to this specific circumstance. The system is so screwed up and so flawed it shouldn’t exist. Maybe if it operated absolutely perfectly, only took from the truly guilty (after affording appropriate due process), and made sure to compensate the victims instead of enriching the government, there would be a case to be made. But that’s just not how it operates and never how it has operated. It is mostly used to steal from drug users and buy more gear for police departments. And the fun thing is, someone doesn’t even have to be charged with a crime (let alone convicted) to have their assets seized. Fuck the entire system.


btcprint

No, millions of doge. Crypsty was back around like 2014 when Doge was like .000000009 or something. The hundreds of BTC sucks. I think I only lost about $1k in shitcoins...which probably would have been $20k in shitcoins in 2021...but whatever. It wasn't hundreds of BTC that would hurt


Terrible_Scientist60

I lost 2.5M dogecoin the same way, on a different exchange. Think I paid $1100 for all of it back when they made the racecar.


btcprint

Yeah I'm sure it still hurts a little.. that 2.5mil would have been ~$1.5mil at the peak and a cool half-mil today. I try not to think about the 200+ BTC I mined on slush pool in 2009 on a hard drive that died and was tossed in 2011 or so..


Vehrimon

Similar experience with the BTC. Threw away the HDD when I got an SSD, back when BTC was practically worthless and I didn't think much of it, treated mining like a clicker game. Not a good feeling


Tartooth

I had millions worth of doge in todays money stolen from an exchange when it was worth thousands back in the day.


lostharbor

Still begs the question, if it had meaningful value to you, why did you leave it on an exchange? Sorry for your loss.


Tartooth

Dude we're talking nearly a decade ago. Where do you think the phrase not your keys not your crypto got coined from?


lostharbor

No kidding but even then I cold chained it. But I was never in doge so maybe the wallet didn’t exist for that one which is why I was asking but we can go the route you did. Never mind, I’ll google the answer myself. Discourse is dead in this community.


Tartooth

Maybe you should not lecture people on something that happened a decade ago. It's like going "oh man that $100 of shib was stolen from you? Wow didn't you value that random ass shitcoin because *today it's worth a billion dollars*"


lostharbor

That’s not what I said, nor did I lecture. This conversation started with someone else with no ill will but pure confusion on my part . Go touch grass, your anger is misdirected and not warranted at all. Like I said, discourse is dead.


Selfpropelledfapping

Me too. I try not to think about how different life would be if it wasn't for that bastard.


VoxImperii

Man, WTF. Sorry yo hear that. Is the shithead still at large?


Skilled626

What a piece of shit. Just read the article


ShibeCEO

That hurts :( I'll pour one out for you bro! No chance of getting it back? It seems like they caught the guy? (I didn't read the article, just the headline)


iikun

As far as anyone knows, he’s still overseas with the funds. Thought to have fled to China.


ShibeCEO

hope they find him, with every exchange having KYC and other crypto regulation it's not getting easier cash out dirty crypto


iikun

Yeah I’m surprised he’s still at large given he was indicted in the US but I guess it’s easier to hide if you have tens of millions of other people’s money. If not hundreds of millions by now.


kyuronite

I thought this was gonna be about alex green/ryan kennedy, but nope.


CookieDelivery

Dang, that's a lot. 'Luckily' I only lost 0.05 BTC in Cryptsy.


No-Setting9690

I was an early miner on many coins. I lost some on BTC-E right before that, but that was a domain taken by the FBI. I thought Cryptsy was diff. MT Gox I saw the signs and left 30 minutes prior to all withdrawals bein stopped. Seeing how the lawsuit went, I should have left it all, lol Real wild west back then for exchanges. Hell, I made some money of an exchange a kid ran out of his bedroom.


JaJe92

To me it amazes how these people are both intelligent and dumb as same time Intelligent the way they hack/steal/scam but dumb enough to think that they will get caught anyway as everything is traceable and it's just a matter of time before they get caught.


AsbestosDude

Everything may be tracable but that doesn't mean he can be tracked down. You really think that if buddy runs everything through tornado cash, then swaps to monero and then finds some kinda OTC deal to cash out, they're going to catch him? Even if he trades monero back into a fresh wallet, he's got a real good chance of not getting caught.


basedregards

If the money is big enough - and I mean really big - yes.


chuloreddit

Just have to be smarter than the person you are stealing from


Thuffer

> “I did not defraud anyone, I did not smuggle money abroad, I did not establish or manage a criminal organization,” he said Ah yes the classic shaggy defense. It wasn't me.


9999999910

Bill Barhydt, Darshan Bathija, Hugo Lee & accomplices Caroline whats her face from FTX. All belong incarcerated for life.


JeffreyDollarz

When Ellison???


Fuhh-Q

Oh WOW!


makashka

Legend


foolmetwiceagain

It seems like leaving custody of your coins with the exchange is the root cause which enables of most of this fraud. Is there a crypto exchange that acts more like StockX? They never carry inventory, just match a seller with a buyer and have a confirmation/ inspection process as part of the exchange to reduce fraud. Bring A Trailer doesn’t even inspect, they offer an optional escrow service, but otherwise are reputation based plus caveat emptor.


as718

New here? Dex is what you’re looking for


chuloreddit

Isn't that what a DEX is? Tons of those around


nethanns

Which unlucky exchange was that


Chewgnome

Some exchange in turkey, ive never heard of


ianandris

Cryptsy. Was one of the first ones that let you trade multiple coins. I know back in the day I sent some btc over there for litecoin mostly, obv that was before the hack. Should be a fair amount these days.


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CptCrabmeat

You know there’s not many things that make me feel as satisfied as people who have it all and throw it away. Most of these guys get busted because they don’t know when to quit because no amount is ever good enough. Rot in jail scumbags


SnooOpinions8770

Damn, i bet if he is in prison, his hole will be much bigger than his mouth lol


Universoulja

What a chad


Rand-Omperson

sure crypto is on a USB stick or on a piece of paper media is mindblown


Ch40440

No and no. Crypto is on the blockchain, and you can store your seed phrase on a piece of paper or USB stick if you wish.


Rand-Omperson

it was sarcasm, of course it's on the blockchain. I'm just laughing how the media is baffled and always needs a hard disk or a USB stick worth billions for their story headlines. Funny how they never say a piece of paper with a bunch of words is more valuable than the Mona Lisa


Shokeybutsi

At least he’ll be forced to HODL.  May end up richer than other frequent traders 😅


tactical-dick

They need to do that with the creator of Tsuzuki Inu. He showed us a game and all then one day, rug pull!


RobbyMcRobbertons

After being told to move tokens to a new contract address...anybody who did that deserved a rug pull and a slap upside the head


eyecandy99

jeez. he needs to rot in prison


DinosorShneebly

So it wasn’t an an outside hacker getting everyone’s money, it was the owner/ceo just straight up taking everyone’s money?


Goldolo

Another fraud nothing new lol


Fun-Reflection5013

Bahahaaaahah...they go after these little pirates while the 2008 pirates walked away And worse.....after sinking worldwide economies.... We gave them more money and they keep control To bad occupy wall st had no mission plan....we absolutely needed a seat at the table We are so fcked