Bart Stephensthe cryptocurrency tycoon behind it Blockchain capital, became the latest victim of a millionaire hack that cloned cell phones. According to a lawsuit released by the US Justice Department, the businessman has made public the action against an anonymous team of hackers responsible for the theft.
According to information in the trial, the attack took place between May 12 and May 14 this year. Criminals posed as Brad Stephens, Bart’s brother, gaining access to the victim’s account.
Once in control, they bought a phone with money from Stephens’ account. With the device in hand, they managed to clone the phone number, reset passwords and bypass the two-factor authentication system (2FA).
Bravely, the hackers even sent messages to Stephens using his own account, claiming they could “remotely hack someone’s phone number in the United States”. In addition, they gave him the opportunity to contact him via Whatsapp.
Cryptocurrency tycoon loses BRL 31 million due to hack
On May 14, Stephens’ account balance was emptied. Hackers have transferred approximately $6.3 million (R$31,375,260) in various cryptocurrencies, such as Bitcoin (BTC), Ether (ETH), Maker (MKR), Compound (COMP), and Uniswap (UNI), to proprietary wallets.
They even attempted an even more daring move: stealing 80 Bitcoins and 6,500 Ethers from the tycoon’s “cold wallet”. However, an email warning sent to a Blockchain Capital employee prevented the attempt from succeeding.
When Stephens learned of the alert, he realized his accounts were under attack. Subsequently, the trial showed that hackers attempted to launder the money using decentralized brokers, making it difficult to track.
Although two brokers were named in the lawsuit, their names have been withheld.
How was a cryptocurrency tycoon hacked?
In the vibrant city of San Francisco, the Stephens brothers, Bart and Brad, have become a benchmark in the world of cryptocurrencies. Both created Blockchain Capital, a giant that invested in several startups in the cryptocurrency sector such as Worldcoin and Coinbase.
One night, with the city lights on, Bart found himself in the middle of a digital storm. Jane Doe, an enigmatic hacker operating from the dark alleys of the virtual world, is after Bart. Deftly, she collected information scattered across the web and weaved it into an attack that gave her access to Bart’s realm.
Using the well-known trick of SIM switch, Jane infiltrated Bart’s digital life, a tactic well known in the virtual world. As time passed, she sent Bart a teasing message.
By dawn, Jane had stolen $6.3 million from Bart’s accounts. The San Francisco tech community was stunned.
Jane attempted an even bigger heist, a cold wallet with assets worth $14 million. But this time the hacker’s luck had run out. An observant Blockchain Capital employee spotted the malicious activity and blocked access before it got what it wanted.
As half of the businessman’s fortune vanished, lost in the mazes of decentralized exchanges, Bart’s spirit remained unwavering. He is a staunch supporter of cryptocurrencies and has previously challenged skeptics such as JP Morgan CEO Jamie Dimon over his misgivings about the digital currency.
The entrepreneur is now seeking justice and compensation for lost cryptocurrencies and funds spent during the investigation.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
