Source: Cointelegraph
Original: (New Zealand man arrested for involvement in $265 million cryptocurrency fraud, FBI involved in investigation)
A man in New Zealand has been arrested for allegedly participating in a global cryptocurrency fraud investigation led by the FBI, which reportedly stole NZD 450 million (approximately USD 265 million).
According to New Zealand police, the man is one of the 13 individuals charged in Auckland, Wellington, and California following the execution of search warrants over the past three days.
The allegations stem from a charge that members of an organized crime group manipulated seven victims to acquire a large amount of cryptocurrency between March and August 2024, which was then laundered through multiple platforms.
According to an announcement from the U.S. Department of Justice, the man has been charged under federal law with extortion, conspiracy to commit wire fraud, and conspiracy to launder money.
Prosecutors allege that the stolen funds were used to purchase luxury vehicles worth $9 million and were lavishly spent on high-end goods, including designer handbags, watches, and clothing, as well as nightclub entries, private security, and rental services in Los Angeles, Miami, and the Hamptons.
The defendant appeared in Oakland District Court and was granted bail, with his name temporarily kept confidential. He is scheduled to appear in court again on July 3.
"We are working closely with our law enforcement colleagues in the U.S. to support their investigation," the police stated. They added, "Today's search warrants and arrests reflect the importance of international cooperation, as criminals are operating across borders."
The investigation is ongoing.
According to data from blockchain security firm PeckShield, there was a surge in digital asset theft cases in April 2025, with 18 separate hacking incidents resulting in nearly $360 million stolen.
This figure represents a staggering 990% increase compared to the reported loss of only $33 million in March. This sharp rise is primarily attributed to an unauthorized Bitcoin (BTC) transfer, which accounted for the majority of the month's losses.
On April 28, blockchain analyst ZachXBT discovered a suspicious $330 million BTC transaction. It was later confirmed that the incident was a social engineering attack targeting elderly residents in the U.S., making it one of the largest individual cryptocurrency thefts to date.
Related: Surge in violent cryptocurrency robberies: six attacks targeting investors
