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The U.S. Department of Justice has charged Andean Medjedovic, a 22-year-old Canadian national, with stealing approximately $65 million in cryptocurrency. Medjedovic allegedly exploited vulnerabilities in the automated smart contracts used by the KyberSwap and Indexed Finance decentralized finance protocols. He reportedly withdrew millions of dollars of investor funds from the protocols at artificial prices, rendering the victims’ investments essentially worthless.

Medjedovic is also accused of laundering the proceeds of his fraudulent schemes through a series of transactions designed to conceal the source and ownership of the funds, including through swap transactions, bridging transactions, and the use of a digital assets mixer. The indictment also alleges that he attempted to extort the victims of the KyberSwap exploit. Medjedovic faces charges including wire fraud, unauthorized damage to a protected computer, attempted Hobbs Act extortion, money laundering conspiracy, and money laundering. If convicted, he faces a maximum of 10 years in prison on the unauthorized damage charge and 20 years on each of the other counts.

ImgSrc: hackread.com

References :

• BleepingComputer: The U.S. Justice Department has charged a Canadian man with stealing roughly $65 million after exploiting two decentralized finance (DeFI) protocols.
• securityonline.info: Canadian Hacker Indicted for $65 Million DeFi Exploit
• Cyber Security News: Cybersecurity News article about the Canadian national charged with stealing $65 million in crypto.
• securityonline.info: Details about the criminal indictment.
• www.justice.gov: U.S. Department of Justice : 22 year old Canadian national Andean Medjedovic was charged with exploiting vulnerabilities in the automated smart contracts used by the KyberSwap and Indexed Finance decentralized finance protocols to withdraw approximately $65 million from investor funds. Medjedovic also allegedly laundered the proceeds of his fraudulent schemes through a series of transactions designed to conceal the source and ownership of the funds, using bridging transactions and crypto mixers. The indictment cites: Wire fraud, unauthorized damage to a protected computer, attempted Hobbs Act extortion, money laundering conspiracy, and money laundering.
• DataBreaches.Net: Canadian man charged in $65 million cryptocurrency hacking schemes
• www.bleepingcomputer.com: Report on the exploit of KyberSwap and Indexed Finance.
• www.justice.gov: Original DOJ report about the incident.
• CryptoSlate: KyberSwap exploiter gets five-count criminal indictment after stealing $65M
• cryptoslate.com: KyberSwap exploiter gets five-count criminal indictment after stealing $65M
• Help Net Security: Man charged with stealing $65 million by exploting DeFI protocols vulnerabilities
• www.helpnetsecurity.com: Man charged with stealing $65 million by exploting DeFI protocols vulnerabilities
• hackread.com: News report on the alleged DeFi hack.

Classification:

• HashTags: #DeFiHack #CryptocurrencyTheft #MoneyLaundering
• Company: KyberSwap, Indexed Finance
• Target: KyberSwap, Indexed Finance, investors
• Attacker: Andean Medjedovic
• Product: KyberSwap, Indexed Finance
• Feature: Smart Contracts
• Type: DataBreach
• Severity: Major