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Man faces court over $230M Bitcoin theft in first-ever Bitcoin RICO case

Market News
07 Sep 2026
Crypto Briefing
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Bearish
Man faces court over $230M Bitcoin theft in first-ever Bitcoin RICO case

Malone Lam, 22, is set to appear in a Washington, D.C. federal court for a plea hearing in a case involving the theft of over 4,100 Bitcoin valued at $230 million. He allegedly led a criminal group that used social engineering to impersonate Google and Gemini representatives, tricking a victim into giving account access. This is the first Bitcoin-related case prosecuted under the RICO Act, with charges including racketeering, wire fraud, and money laundering. Authorities have recovered about $70 million, but $193 million remains missing, highlighting challenges in tracing stolen cryptocurrency. If convicted, Lam faces up to 20 years per charge, with co-defendants already receiving significant prison sentences.

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