-
A 19-year-old bad actor hijacked personal credentials from nine companies and monetized it across forums on the dark web.
-
The hijacked credentials spanned ID numbers, phone numbers, addresses, as well as bank account information.
-
Police blocked a wallet for digital assets that contained earnings from the illicit sales of credentials.
Spanish National Police arrested a 19-year-old man in Igualada, Barcelona, for allegedly stealing and trading private sensitive credentials, approximately 64 million pieces. It’s likely the attack on nine different firms was systematic, aiming at turning their customers’ details into cash.
Authorities have charged the young bad actor with computer crimes, unauthorized access, exposing secrets, and violating privacy. His operation risked millions of individuals to fraud and identity theft. Authorities have classified this breach as one of the most critical data heist cases ever recorded in Spain.
The Anatomy of a Data Heist
A police investigation initially launched in June of last year revealed a series of Cybersecurity breaches from several different companies. Investigators first back-traced the various cases to Igualada and then to a single culprit responsible for various crimes.
Beyond usernames and emails, the culprit hijacked extremely sensitive credentials, including full legal names, national IDs, contact numbers, as well as home addresses. Investigators are even more concerned because they discovered that the suspect also obtained IBAN codes. IBAN Codes represent Bank Account Numbers, and provide direct access to a person’s Bank Account.
Once in possession of the stolen data, the suspect wasted no time in attempting to monetize the information by selling it on various Hacker Forums on the internet. To hide his identity, the suspect operated under six different email accounts and five different Pseudonyms, making it more difficult for investigators to track his activity.
On Monday of last week, Catalan Regional Law Enforcement carried out a search warrant at the suspect’s home in Igualada. During the operation, officers arrested the suspect and confiscated multiple computers. They also recovered several hardware cryptocurrency wallets and located a cryptocurrency wallet where the proceeds from the sale of stolen data were being deposited, then blocked access to it.
When Crypto Crime Turns Deadly
While data theft represents one face of crypto-related crime, Spanish authorities are also dealing with something far more violent, including the violent act of kidnapping and murder for the cryptocurrency assets of a target group of individuals. This escalation mirrors a disturbing international trend of criminals leveraging crypto for the most severe offenses, as seen in recent cases like the takedown of a dark web hitman-for-hire platform in Germany.
In April last year, Spain’s National Police arrested a number of persons in connection with the kidnapping and murder of a person believed to have been a target due to his possession of cryptocurrency.
A woman initially went to a police station in Malaga and claimed that three or four black-masked men dressed in all black had assaulted her and her partner, and had allegedly shot her partner in the leg when he tried to escape.
The kidnappers forced both victims into a vehicle and took them to another house, where they held them for several hours while trying to access their cryptocurrency wallets and steal their funds.
Around midnight that same night, the captors released the woman, but her partner stayed missing until authorities eventually found his body in a wooded area just outside the town of Mijas. Investigators observed multiple signs of violence on the victim’s body, and besides the gunshot wound to his leg, he also showed several other severe injuries.
International Cooperation Brings Justice
Officers initiated an immediate investigation, which resulted in the successful identification of the perpetrators and significant evidence to support prosecution. Five individuals have been arrested in Spain as a result of this investigation, in addition to six separate locations across Madrid and Málaga.
In Denmark, four suspects have been penalized for their participation in this incident, two of whom are currently in custody for similar crimes. The link-up between Danish law enforcement and Spanish authorities shows the ever-evolving global nature of crypto-driven crime.
During the course of their investigations, law enforcement seized two handguns (one legitimate and one simulated), an extendable baton, and an elastic face mask, as well as pants that had blood stains and DNA evidence linking them to the hostage locations of their victims. Also taken into custody were documents and a large number of electronic and cellular devices that are related to this case.
These two investigations serve as a reminder of the dangers associated with the virtual economy. Whether it be adolescent hackers selling stolen data or organized crime syndicates holding victims hostage in order to obtain access to their cryptocurrency wallets, the financial rewards that come from these transactions are substantial, fueling vast, sophisticated money laundering operations that move billions through the crypto ecosystem, and the consequences are significant.
