A Minnesota resident has admitted guilt in connection to a cryptojacking operation that inflicted considerable financial damage on a company, according to a statement by Acting U.S. Attorney Lisa D. Kirkpatrick.
Court documents reveal that Joshua Paul Armbrust, 44, previously of Orr, Minnesota, and now residing in St. Paul, left his employment at Digital River, a global e-commerce and payment processing firm located in Minnetonka, back in February 2020. Post-resignation, between December 2020 and May 2021, he involved himself in an unauthorized cryptojacking scheme targeting his former employer. Cryptojacking is identified as a cybercrime involving the unauthorized use of another's computational resources to mine cryptocurrencies like Bitcoin or Ethereum, potentially causing deteriorated system performance and elevated energy expenses.
Armbrust allegedly accessed the company's Amazon Web Services (AWS) accounts without permission and employed AWS systems to mine Ethereum. This unauthorized activity reportedly led to more than $45,000 in company expenses. The mined Ethereum was channeled into a digital wallet, subsequently transferred to Armbrust’s Coinbase accounts. He liquidated the Ethereum, totaling over $7,000, and deposited the returns into his Wells Fargo account.
"Cryptojacking is simply high-tech thievery," stated Acting U.S. Attorney Lisa D. Kirkpatrick. "Cybercriminals like Armbrust—who use their technical skills to victimize others—will continue to see federal justice."
Armbrust entered his guilty plea to one count of computer fraud in U.S. District Court before Judge Jerry W. Blackwell, with sentencing pending.
The investigation leading to the charge was conducted by the FBI. Assistant U.S. Attorney Bradley M. Endicott is in charge of prosecuting the case.
