US Recovers And Returns Over $500,000 In Bitcoin Stolen From A Coinbase User

[BenjaminGlover]

The United States Attorney's Office has recouped more than $500,000 in Bitcoin stolen from an elderly citizen of North Carolina. The fraudsters purported to be from the Inspector General's Office. The victim invested his retirement assets in Bitcoin through a cryptocurrency exchange. The transaction was flagged as possibly being an elder financial fraud.

How can the government rehabilitate itself? I realize that an address may be tracked and monitored, but how about a return? How is that possible??

Source: https://bobosandwojaks.com/more-than-500000-in-bitcoin-stolen-from-a-coinbase-user-is-recovered-and-returned-by-the-us-government/

[Poker Player]

The United States Attorney's Office has recouped more than $500,000 in Bitcoin stolen from an elderly citizen of North Carolina. The fraudsters purported to be from the Inspector General's Office. The victim invested his retirement assets in Bitcoin through a cryptocurrency exchange. The transaction was flagged as possibly being an elder financial fraud.

How can the government rehabilitate itself? I realize that an address may be tracked and monitored, but how about a return? How is that possible??

Source: https://bobosandwojaks.com/more-than-500000-in-bitcoin-stolen-from-a-coinbase-user-is-recovered-and-returned-by-the-us-government/

I believe that if you had carefully read the brief article you link to, you would have had a clear idea and you would not ask that question.

As I understand it, the money never left Coinbase. Coinbase identified that transaction as suspicious, blocked it, and alerted the FBI, who would then confirm that it was fraud. The article doesn't say it exactly like that, but that's how I understand it.

[Charles-Tim]

the money never left Coinbase. Coinbase identified that transaction as suspicious, blocked it, and alerted the FBI, who would then confirm that it was fraud.

This is exactly what would have happened, or maybe the man was curious about it and reported to FBI which resulted to investigation. The coin was still on Coinbase (Coinbase bitcoin address) and it was recovered as Coinbase has the full control over any fund on their exchange.

[Wexnident]

I believe that if you had carefully read the brief article you link to, you would have had a clear idea and you would not ask that question.

As I understand it, the money never left Coinbase. Coinbase identified that transaction as suspicious, blocked it, and alerted the FBI, who would then confirm that it was fraud. The article doesn't say it exactly like that, but that's how I understand it.

What he said, coinbase was able to detect that the amount transferred from what I understood as a new account was too big that they flagged the account for inspection which revealed that it was a scam. It's basically the power of centralized exchanges, which is why "not your keys, not your coins" hold true to this, but well I guess that helped in saving the user from losing their funds completely. In this case the user was probably a newbie to crypto or only had minimal knowledge, which resulted in the scam.

[Kemarit]

I don't trust the source so I look for the official document:

According to the filed complaint, the imposters directed the victim to use hundreds of thousands of dollars of his retirement funds to purchase Bitcoin through Coinbase Global, Inc. (Coinbase). On August 31, 2021, 12.164699 Bitcoin, worth approximately $574,766, was transferred from the victim’s Coinbase account to the account controlled by the imposters. Coinbase and the FBI ultimately identified the transfer as possible elder financial fraud. Following an investigation and successful civil forfeiture proceedings, the seized cryptocurrency was forfeited to the United States and will be returned to the victim.

https://www.justice.gov/usao-wdnc/pr/us-attorney-dena-j-king-announces-successful-forfeiture-and-return-stolen

Probably as others have said, it was very suspicious transfer to Coinbase flag it initially and it was identified as financial fraud and it will be return back to the elderly person.

[Wind_FURY]

The United States Attorney's Office has recouped more than $500,000 in Bitcoin stolen from an elderly citizen of North Carolina. The fraudsters purported to be from the Inspector General's Office. The victim invested his retirement assets in Bitcoin through a cryptocurrency exchange. The transaction was flagged as possibly being an elder financial fraud.

How can the government rehabilitate itself? I realize that an address may be tracked and monitored, but how about a return? How is that possible??

Source: https://bobosandwojaks.com/more-than-500000-in-bitcoin-stolen-from-a-coinbase-user-is-recovered-and-returned-by-the-us-government/

I believe that if you had carefully read the brief article you link to, you would have had a clear idea and you would not ask that question.

As I understand it, the money never left Coinbase. Coinbase identified that transaction as suspicious, blocked it, and alerted the FBI, who would then confirm that it was fraud. The article doesn't say it exactly like that, but that's how I understand it.

If the "Bitcoins" that were "recovered" never left a centralized entity's ledger, then technically no one "recovered" any Bitcoins. We should know the difference between Bitcoin, and units in a ledger of a centralized entity called "Bitcoin". It's truly not Bitcoin until it is confirmed in your Bitcoin address.

[Leviathan.007]

As I understand it, the money never left Coinbase. Coinbase identified that transaction as suspicious, blocked it, and alerted the FBI, who would then confirm that it was fraud. The article doesn't say it exactly like that, but that's how I understand it.

True, the money was still in coinbase and it was not out of the exchange I guess coinbase detected the transaction as a suspicious transaction and told the details to the FBI so the FBI could detect the fraud or scam, as I see in the article I understood this, there is maybe a good point about the story behind this article whenever an exchange like coinbase put a transaction to on-hold the will check the details of the transaction, to avoid any possible fraudulent.