A man from northern Minnesota, Joshua Paul Armbrust, has pleaded guilty to computer fraud after engaging in a “cryptojacking” scheme that cost his former employer, Digital River, over $45,000. Although he resigned in February 2020, Armbrust continued to exploit the company’s computing resources to mine Ethereum without permission from December 2020 to May 2021. He accessed Digital River’s Amazon Web Services account multiple times, directing the mined cryptocurrency into his own digital wallets and later cashing in more than $7,000. Facing federal charges, Armbrust was indicted by a grand jury in October and is currently free under supervision as he awaits sentencing, which could potentially include five years in prison.
ST. PAUL — A recent court case has drawn attention to the risks associated with cybercrime, specifically a local man who engaged in a dangerous “cryptojacking” scheme. Joshua Paul Armbrust, 44, from Orr, Minnesota, pleaded guilty to stealing computing resources from his former employer, Digital River, resulting in losses exceeding $45,000.
Armbrust, who worked for Digital River until February 2020, continued to exploit the company’s systems for personal gain well after his resignation. This unauthorized use of resources is defined as cryptojacking, where an individual illegally accesses another party’s hardware to mine cryptocurrency like Bitcoin or Ethereum.
The consequences of such cybercrime are significant. Court documents reveal that Armbrust accessed Digital River’s Amazon Web Services account multiple times between December 2020 and May 2021, using the company’s technology to mine Ethereum. The mined cryptocurrency was redirected to his digital wallet and later sold for over $7,000, which he transferred to his personal bank account.
Armbrust faced serious legal repercussions and was indicted by a federal grand jury in October. After a brief period in jail, he was released under supervision. The charge he faces carries a potential maximum sentence of five years in federal prison, with sentencing yet to be scheduled.
In the broader context, Digital River, established in 1994, recently announced layoffs of 122 employees as part of restructuring efforts.
This case highlights the growing threat of cybercrime in today’s digital landscape, emphasizing the need for companies to enhance their cybersecurity measures and protect against unauthorized access.
Tags: Cryptojacking, Cybercrime, Digital River, Cybersecurity, Minnesota News, Cryptocurrency Theft, Computer Fraud
What is cryptojacking?
Cryptojacking is when someone secretly uses another person’s computer to mine cryptocurrency without their permission. This can slow down the computer and cause other problems.
Why did the man plead guilty?
The man pleaded guilty because he was charged with illegally accessing computers to mine cryptocurrency, which is against the law.
What are the consequences of cryptojacking?
Cryptojacking can lead to serious penalties, including fines and jail time. It also harms the victims by using their computer resources without their knowledge.
How can I protect myself from cryptojacking?
You can protect yourself by keeping your software up to date, using strong passwords, and maintaining good antivirus software. Regularly checking for unknown applications can also help.
Is cryptojacking common?
Yes, cryptojacking has become more common as people look for ways to mine cryptocurrency. It’s important to stay informed and aware of the signs to avoid falling victim.