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Shakeeb Ahmed, a 34-year-old senior security engineer, has pleaded guilty to orchestrating high-profile hacks, including a $12 million theft from Nirvana Finance and another decentralized exchange. The <a rel="noopener noreferrer nofollow" href="https://www.justice.gov/usao-sdny/pr/former-security-engineer-international-technology-company-pleads-guilty-hacking-two">announcement</a> came from the U.S. Attorney’s Office for the Southern District of New York, marking a pivotal moment in the legal approach to digital currency theft.
<h2 id="detailed-scheme-unveiled">Detailed Scheme Unveiled</h2>
Ahmed’s admission sheds light on the sophisticated methods used in these cybercrimes. He exploited a vulnerability in a smart contract of a Solana-based exchange, believed to be Crema Finance. This initial <a href="https://coingape.com/just-in-kyberswap-announces-treasury-grants-for-hack-victims/" rel="noopener noreferrer nofollow">breach</a> was followed by a $3.6 million attack on Nirvana Finance, employing a flash loan and another exploit he identified in the platform’s smart contracts. The pursuit of a substantial bounty from Nirvana Finance, which Ahmed rejected in favour of a higher demand, further complicates the narrative.
<h2 id="advanced-laundering-techniques-exposed">Advanced Laundering Techniques Exposed</h2>
The process Ahmed used to <a href="https://coingape.com/kyberswap-faces-46-million-crypto-hack-triggering-concerns-in-defi-space/" rel="noopener noreferrer nofollow">launder</a> the stolen funds highlights the complexities of tracking digital currency crimes. His methods included token-swap transactions, transferring proceeds across blockchain networks, converting assets into Monero, a cryptocurrency known for its anonymity, and using international exchanges and mixers like Samourai Whirlpool. These steps illustrate the intricate web woven by Ahmed to conceal his tracks.
<h2 id="shakeeb-ahmed-s-consequences-and-restitution">Shakeeb Ahmed’s Consequences and Restitution</h2>
Ahmed now faces serious repercussions for his actions. Besides agreeing to forfeit $12.3 million obtained from the hacks, he is also mandated to pay $5 million in restitution to the victims. This decision represents a major stride in holding cybercriminals accountable in the burgeoning field of decentralized finance. Ahmed’s conviction sets a precedent, being the first involving a smart contract attack.
Scheduled for sentencing on March 13, Ahmed faces up to five years in prison. This case underscores the evolving challenges in <a href="https://coingape.com/justin-sun-huobi-crypto-news-htx-global-hack/" rel="noopener noreferrer nofollow">cryptocurrency security</a> and legal enforcement. The U.S. Attorney’s remarks emphasize the groundbreaking nature of this conviction, setting a legal framework for future cases involving smart contracts and decentralized finance exploits.&nbsp;
Read Also: <a href="https://coingape.com/us-congressman-ro-khanna-proposes-bill-to-ban-congressional-stock-trading/?utm_source=cgtelegram" rel="noopener noreferrer nofollow">US Congressman Ro Khanna Proposes Bill to Ban Congressional Stock Trading</a>
The post <a href="https://coingape.com/just-in-crypto-hacker-shakeeb-ahmed-admits-to-12-million-heist/" rel="noopener noreferrer nofollow">Just In: Crypto Hacker Shakeeb Ahmed Admits to $12 Million Heist</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

Just In: Crypto Hacker Shakeeb Ahmed Admits to $12 Million Heist

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