A man from Nebraska, Charles O. Parks III, pleaded guilty to a large-scale cryptojacking operation after his arrest in April. He rented cloud computing from two major providers, amassing a bill of $3.5 million while mining around $970,000 worth of cryptocurrency without ever paying. Parks used various aliases and created multiple accounts to access powerful resources for mining cryptocurrencies like Ether, Litecoin, and Monero. He disguised his activities and laundered the profits through crypto exchanges and other means. Parks used his illegal earnings to finance lavish purchases, including luxury travel and a Mercedes Benz. He could face up to 20 years in prison at his sentencing.
A Nebraska Man Pleads Guilty for Running a Massive Cryptojacking Scheme
A man from Nebraska, Charles O. Parks III, recently pleaded guilty to running a large-scale cryptojacking operation. He was arrested back in April and has now admitted to not paying a hefty $3.5 million bill for renting cloud computing services to mine cryptocurrencies worth about $970,000.
The Justice Department did not disclose the names of the cloud companies involved, but it is known that one is based in Seattle, and the other is in Redmond, Washington, where tech giants like Amazon and Microsoft operate.
Between January and August 2021, Parks operated under different names and created multiple accounts using firms he controlled, such as “MultiMillionaire LLC” and “CP3O LLC.” This allowed him to access vast amounts of computing power and storage without ever making payments.
By deceitfully utilizing these resources, Parks mined several cryptocurrencies, including Ether, Litecoin, and Monero. He even misled the cloud providers by requesting premium services while dodging inquiries about his heavy usage and unpaid bills.
The indictment details that Parks employed advanced mining software to launch tens of thousands of instances, maximizing the computing power necessary for mining various cryptocurrencies. Furthermore, he laundered his illegal earnings through multiple crypto exchanges and an NFT marketplace, hiding the origins of his funds.
With the money he gained, Parks made luxurious purchases, including first-class airline tickets, a high-end Mercedes Benz, and expensive jewelry. U.S. Attorney Peace emphasized the importance of holding individuals like Parks accountable for their fraudulent actions in the complex world of cryptocurrency.
If sentenced, Parks could face up to 20 years in prison, according to a recent press release regarding his guilty plea.
Tags: Cryptojacking, Cryptocurrency Fraud, Charles Parks, Cloud Computing, Ether, Litecoin, Monero, U.S. Justice Department, Money Laundering, NFT Marketplace.
What happened with the Nebraska Man’s plea deal?
A man from Nebraska pleaded guilty to a scheme that stole $3.5 million through cryptojacking. Cryptojacking happens when someone secretly uses another person’s computer or device to mine cryptocurrency.
What is cryptojacking?
Cryptojacking is when hackers access someone else’s computer secretly to earn cryptocurrency without their permission. This can slow down the computer and use up electricity.
How did the guy from Nebraska pull off the scheme?
He used malicious software to infect many computers. This software allowed him to mine cryptocurrency without the owners knowing, which made him a lot of money.
What are the consequences of this guilty plea?
By pleading guilty, the Nebraska man could face serious legal penalties, including prison time and fines. His actions harmed many people and showed how risky it can be to leave devices unprotected.
What can people do to protect themselves from cryptojacking?
To stay safe, people should use strong antivirus software, keep their devices updated, and avoid clicking on suspicious links. Regularly checking for unusual activity can also help catch cryptojacking early.
