Incident Response
FBI agent admits stealing $2.5 million in crypto from cases he worked
A former FBI agent has pleaded guilty to stealing nearly $2.5 million in cryptocurrency from wallets tied to fraud victims and hackers under investigation, according to court documents.
Ross Grant2 min read
The short version
A former FBI agent admitted to stealing almost $2.5 million in cryptocurrency from wallets linked to cases he was working on. He used secret codes from FBI systems to take the money from both fraud victims and hackers under investigation. The agent turned himself in and now faces up to 40 years in prison. This case shows that even trusted insiders can pose a risk to sensitive information and assets.
By the numbers
- $2,474,380.66total cryptocurrency stolenBleepingComputer
- 35FBI investigations affectedBleepingComputer
- 100fraudulent transfers madeBleepingComputer
- 20 yearsmaximum prison sentence for each chargeBleepingComputer
What happened?
A former FBI agent has pleaded guilty to stealing nearly $2.5 million in cryptocurrency from wallets belonging to fraud victims and hackers under investigation. The agent used credentials from FBI case management systems to access and transfer the funds. He self-reported the theft in July 2026 and was arrested and fired shortly after. The Justice Department says his actions compromised multiple investigations.
Who is affected
According to BleepingComputer (opens in a new tab), the theft involved cryptocurrency wallets belonging to fraud victims and nation-state hackers who were under FBI investigation. The agent, Patrick Steven Yaroch, used credentials from 35 separate FBI investigations to access these wallets. The Justice Department said his actions compromised multiple FBI investigations, including those involving foreign intelligence and criminal groups.
How the attack worked
Yaroch worked on a national security squad in the FBI Boston Division from 2017 to 2025 and later as a supervisory special agent in the FBI Headquarters Counterintelligence and Espionage Division. He admitted to using passphrases found in the FBI's case management systems and another investigative data platform to access the cryptocurrency wallets. Over the course of his scheme, Yaroch made about 100 fraudulent transfers, moving funds from the wallets into his own accounts. He then tried to launder the money by exchanging it for other cryptocurrencies and making payments to cover personal debts, including credit cards and car payments.
The response
Yaroch self-reported the theft to the Department of Justice National Security Division and FBI Headquarters employees on July 29. He was placed on administrative leave the same day and fired by the FBI on July 31, 2026. He was arrested at his home on July 31. Yaroch pleaded guilty to wire fraud and money laundering charges. He is scheduled to be sentenced on March 4 and faces up to 20 years in prison for each charge.
What was taken
The total amount stolen was approximately $2,474,380.66 in cryptocurrency. This money came from wallets tied to both fraud victims and suspects, including nation-state hackers. In one example, between November 25, 2025, and January 13, 2026, Yaroch transferred about $93,082 to one of his accounts and then moved the funds between other accounts to pay off personal debts.
What you should do
For organisations handling sensitive investigations or digital assets, this case highlights the risk of insider threats. Regular audits of access to case management systems and monitoring for unusual transfers are important. Limiting access to sensitive credentials and enforcing strict separation of duties can help reduce the risk of similar incidents.
Why it matters
This case shows that insider threats can affect even top security agencies. Sensitive investigations and the people involved can be put at risk if access controls and monitoring are not strong enough. It also highlights the importance of auditing and limiting access to critical systems.
Key points
- A former FBI agent stole nearly $2.5 million in cryptocurrency from cases he worked on.
- He used credentials from FBI systems to access wallets tied to fraud victims and hackers.
- The agent self-reported, was fired, and pleaded guilty to wire fraud and money laundering.
- His actions compromised multiple FBI investigations, including those involving nation-state adversaries.
- The case highlights the need for strong insider threat controls and regular audits.
Sources
BleepingComputer
Reference
