What Happened to $245 Million Cryptocurrency RICO Conspiracy?
An international cybercrime enterprise, led by Malone Lam, orchestrated a sophisticated social engineering and home invasion scheme from October 2023 to May 2025, stealing over $245 million in cryptocurrency from victims. The U.S. Department of Justice utilized the RICO Act to prosecute the 18-defendant conspiracy, with ringleader Malone Lam pleading guilty in September 2026 and awaiting sentencing.
Quick Answer
The '$245 Million Cryptocurrency RICO Conspiracy' refers to a large-scale cybercrime operation that defrauded victims of over $245 million in digital assets through social engineering and physical theft. The alleged ringleader, Singaporean national Malone Lam, 22, pleaded guilty to one count of RICO conspiracy on September 8, 2026, in U.S. District Court in Washington D.C. At least ten other co-defendants have also pleaded guilty, with some already sentenced, marking a significant victory for federal prosecutors using organized crime statutes against crypto-native criminal networks. Lam faces up to 20 years in prison, with a status hearing for his sentencing scheduled for December 8, 2026.
📊Key Facts
📅Complete Timeline14 events
Criminal Enterprise Begins Operations
The international cybercrime enterprise, later known as the 'Social Engineering Enterprise,' began its operations, growing from connections made on online gaming platforms.
$14 Million Crypto Theft and Home Invasion
Malone Lam and associates allegedly stole over $14 million in cryptocurrency from a victim. Separately, Marlon Ferro, a member of the enterprise, allegedly traveled to New Mexico to break into a victim's home to steal a hardware virtual currency wallet, while Lam monitored the victim's location via iCloud.
Major Bitcoin Theft from D.C. Victim
Malone Lam and co-conspirators fraudulently obtained over 4,100 Bitcoin, worth approximately $230 million to $263 million at the time, from a victim in Washington D.C. by posing as Google and Gemini representatives.
Initial Arrests and Indictment of Lam and Serrano
Malone Lam and alleged co-conspirator Jeandiel Serrano were arrested after investigators traced laundered funds. Lam was subsequently indicted on scamming charges, marking the beginning of federal prosecution.
Co-defendant Veer Chetal Pleads Guilty
Co-defendant Veer Chetal pleaded guilty in connection with the conspiracy. Agents recovered approximately $500,000 in cash and $37 million in crypto tied to him.
Superseding Indictment Expands Case to 18 Defendants
A four-count superseding indictment was unsealed, charging 12 additional individuals and expanding the scope of the racketeering conspiracy to over $263 million in stolen cryptocurrency and a total of 18 defendants. The enterprise's operations continued through at least this month.
Malone Lam Arrested at Miami Rental Home
Law enforcement arrested Malone Lam at his rental home in Miami, Florida. This occurred after his initial indictment, with allegations that he continued to operate the enterprise from pretrial detention.
Marlon Ferro Pleads Guilty
Marlon Ferro, responsible for home burglaries and money laundering within the enterprise, pleaded guilty to his role in the conspiracy.
Kunal Mehta Pleads Guilty
Kunal Mehta, identified as a money launderer for the enterprise, pleaded guilty to racketeering conspiracy charges, becoming the eighth defendant to do so.
Evan Tangeman Pleads Guilty
Evan Tangeman, a money launderer for the group, pleaded guilty to participating in a RICO conspiracy, admitting to laundering at least $3.5 million.
Evan Tangeman Sentenced to 70 Months
Evan Tangeman was sentenced to 70 months (nearly six years) in prison for his role in laundering millions for the criminal enterprise.
Marlon Ferro Sentenced
Marlon Ferro was sentenced to 78 months in prison and ordered to pay $2.5 million in compensation for his role in the conspiracy.
Malone Lam Pleads Guilty to RICO Conspiracy
Malone Lam, the alleged ringleader, pleaded guilty in U.S. District Court in Washington D.C. to one count of participating in a RICO conspiracy, admitting his role in stealing and laundering over $245 million in cryptocurrency.
Status Hearing for Lam's Sentencing
A status hearing is scheduled for Malone Lam in U.S. District Court in Washington D.C., where the judge is expected to provide more information on his sentencing.
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🔍Deep Dive Analysis
The '$245 Million Cryptocurrency RICO Conspiracy' involved an international cybercrime enterprise, dubbed the 'Social Engineering Enterprise' by the Department of Justice, which operated from at least October 2023 through May 2025. The group, whose connections originated on online gaming platforms, employed a multi-faceted approach to steal cryptocurrency, including sophisticated social engineering tactics, cyber intrusions, and even physical home invasions to steal hardware wallets.
Malone Lam, a Singaporean national, was identified as the ringleader, operating under aliases such as 'Anne Hathaway,' '$$$,' and 'King Greavy.' He organized the enterprise, identified high-net-worth victims, and coordinated the roles of various conspirators, which included database hackers, target identifiers, callers, money launderers, and residential burglars. A significant incident occurred on August 18, 2024, when Lam and his associates stole over 4,100 Bitcoin, valued at approximately $230 million at the time, from a Washington D.C. victim by posing as representatives from Google and the Gemini cryptocurrency exchange. Another theft in July 2024 saw the group steal over $14 million in cryptocurrency.
The stolen funds were laundered through various methods, including 'peel chains,' cross-chain swaps, and high-risk exchanges, often using mixers, VPNs, and shell entities to obscure their origins. The proceeds fueled an extraordinarily lavish lifestyle for the conspirators, who spent millions on luxury goods and services, including up to $500,000 per night at Los Angeles nightclubs, high-end handbags, watches, exotic cars (some valued at up to $3.8 million), private jet rentals, and mansions in locations like the Hamptons and Miami.
Federal prosecutors leveraged the Racketeer Influenced and Corrupt Organizations (RICO) Act, typically used against traditional organized crime, marking this as the first Bitcoin-related case prosecuted under RICO by the U.S. Department of Justice. The initial charges against Lam and Jeandiel Serrano were brought in September 2024, with a superseding indictment in May 2025 expanding the case to include 12 additional individuals, bringing the total to 18 defendants. Several co-defendants, including Kunal Mehta, Marlon Ferro, and Evan Tangeman, pleaded guilty throughout late 2025 and early 2026. Tangeman was sentenced to 70 months in prison in April 2026, and Ferro received a 78-month sentence in May 2026.
As of September 8, 2026, Malone Lam pleaded guilty to one count of participating in a RICO conspiracy. He faces a maximum sentence of 20 years in prison, with a status hearing scheduled for December 8, 2026, where the judge is expected to set his sentencing date. Prosecutors noted that a substantial portion of the stolen funds has been transferred overseas or on-chain, making them difficult to trace and recover.
What If...?
Explore alternate histories. What if $245 Million Cryptocurrency RICO Conspiracy made different choices?