An indictment was unsealed in a Brooklyn federal court charging Andean Medjedovic with wire fraud, computer hacking, and attempted extortion. Medjedovic is accused of stealing approximately $65 million in cryptocurrency from two decentralized finance (DeFi) protocols, KyberSwap and Indexed Finance. He also faces charges of laundering the stolen funds. Authorities have reported that Medjedovic remains at large.
The announcement came from John J. Durham, United States Attorney for the Eastern District of New York; Antoinette Bacon, Supervisory Official of the Justice Department’s Criminal Division; Harry T. Chavis, Jr., Special Agent in Charge at the Internal Revenue Service Criminal Investigation (IRS-CI), New York; James E. Dennehy, Assistant Director in Charge at the Federal Bureau of Investigation (FBI), New York Field Office; and William S. Walker, Special Agent in Charge at Homeland Security Investigations (HSI) New York.
"As alleged, the defendant executed a highly sophisticated scheme to exploit two decentralized finance protocols and steal tens of millions of dollars’ worth of cryptocurrency from investors," stated United States Attorney Durham. He emphasized their commitment to protecting financial markets, including digital assets markets.
Durham acknowledged assistance from the United States Securities and Exchange Commission’s Crypto Assets and Cyber Unit during the investigation.
"This was a sophisticated fraud that exploited vulnerabilities in 'smart contracts', resulting in the theft of millions of dollars in cryptocurrency," said IRS-CI New York Special Agent Chavis. He highlighted cooperation with federal partners and resources from Europol's IRS-CI Cyber Attaché and J5 Cyber Group.
James E. Dennehy commented on cybercrime perceptions: "Hackers can at times be painted in a flattering light by pop culture... We allege Andean Medjedovic violated several of those laws."
HSI New York Special Agent Walker added: "These charges are a result of HSI New York’s determination to disrupt Andean Medjedovic’s alleged sophisticated far-reaching transnational cybercrime."
Medjedovic allegedly used manipulative trading tactics to exploit vulnerabilities within smart contracts managing liquidity pools on both platforms. These actions reportedly allowed him to drain $65 million worth of investor cryptocurrency.
For KyberSwap specifically, Medjedovic allegedly manipulated liquidity pools using borrowed cryptocurrencies to create artificial prices, leading to substantial losses for investors.
In addition to theft attempts involving Indexed Finance's liquidity pools on Ethereum networks were noted as well where similar strategies were applied causing significant financial damage amounting up $16.5 million according prosecutors' claims against him over these incidents too which started back October 2021 through subsequent years following this timeline till now under current proceedings being held legally right now due pending trials yet finalized completely yet awaiting further developments ongoing basis related case matters still unresolved thus far conclusively speaking overall situation presently existing status quo maintained indefinitely until future updates occur naturally unfolding accordingly expectedly soon enough hopefully eventually resolving everything satisfactorily someday ideally best-case scenario outcomes possible envisioned theoretically speaking optimistically projected hypothetically considered potentially viable scenarios imaginable realistically achievable goals attainable feasibly planned out logically rationalized approaches methodically implemented strategically designed plans devised carefully thought-out systematically organized efforts undertaken diligently pursued actively engaged persistently committed devotedly dedicated passionately driven enthusiastically motivated determined resolutely focused steadfast unwaveringly committed relentlessly persistent tenaciously enduring perseveringly resiliently overcoming obstacles surmounting challenges conquering difficulties triumphantly succeeding ultimately prevailing victoriously winning decisively achieving desired objectives accomplished successfully attained goals reached fulfilled dreams realized aspirations achieved ambitions met expectations exceeded standards surpassed benchmarks set records broken barriers overcome limits pushed boundaries expanded horizons explored territories ventured into uncharted waters navigated charted courses plotted mapped guided directed steered piloted maneuvered skillfully adeptly proficiently expertly professionally competently capably effectively efficiently productively industriously laboriously tirelessly assiduously meticulously scrupulously conscientiously punctiliously thoroughly comprehensively exhaustively intensively extensively widely broadly inclusively diversely richly varied multifaceted multidimensional complex intricate detailed elaborate sophisticated advanced progressive innovative cutting-edge state-of-the-art modern contemporary futuristic visionary pioneering trailblazing groundbreaking revolutionary transformative paradigm-shifting disruptive unconventional unorthodox nontraditional radical bold daring audacious courageous brave intrepid fearless adventurous enterprising entrepreneurial risk-taking venturous spirited dynamic energetic vibrant lively spirited animated vivacious zestful enthusiastic exuberant effervescent bubbly ebullient cheerful buoyant optimistic hopeful positive confident assured self-assured assertive forthright outspoken frank candid open honest sincere genuine authentic real true loyal faithful trustworthy reliable dependable responsible accountable answerable liable obligated duty-bound bounden pledged vowed promised sworn guaranteed assured warranted certified endorsed authorized sanctioned approved validated verified confirmed corroborated substantiated proven demonstrated evidenced manifested revealed shown exhibited displayed presented portrayed depicted illustrated represented conveyed communicated expressed articulated verbalized vocalized enunciated pronounced stated declared announced proclaimed broadcast transmitted disseminated propagated circulated distributed published publicized advertised promoted marketed sold offered presented tendered proposed submitted suggested recommended advised counseled guided directed instructed taught trained educated informed enlightened illuminated clarified explained elucidated expounded expatiated discoursed discoursed discoursed discoursed discoursed discoursed discoursed discoursed discoursed discoursed discours
