Yet Another Crypto Sleuth Has Aided The FBI in finding a Crypto criminal
- The FBI has seized $100,000 worth of NFTs and 86.5 ETH from a reported phishing scammer.
- The alleged scammer, Chase Senecal (aka Horror (HZ)), was exposed through an investigation by independent blockchain sleuth, ZachXBT.
- The seized property included Bored Ape Yacht Club#9658 and Doodle #3114 NFTs and an Audemars Piguet Royal Oak watch worth $41,000.
- The seizure was made on Oct. 24 and is a result of federal forfeiture for violation of federal law.
The Rise Of NFT Scams
The rise of cryptocurrency and non-fungible tokens (NFTs) has brought with it a rise in crypto scams and NFT scams. These fraudulent activities not only hurt the individuals who fall victim to them, but they also harm the entire crypto community and hinder the growth of the technology. In a recent move to combat these scams, the Federal Bureau of Investigation (FBI) has seized NFTs and Ether worth over $100,000 from an alleged phishing scammer.
The scammer in question, Chase Senecal (aka Horror (HZ)), was exposed through an investigation by independent blockchain sleuth, ZachXBT, which was posted back in September. The FBI’s official notification, posted on Feb. 3, outlined that Seneca’s property was seized for federal forfeiture for violation of federal law. The NFTs seized included Bored Ape Yacht Club#9658 and Doodle #3114 and were valued at $95,495 and $9,361 at the time of seizure, while the 86.5 ETH was valued at $116,433.
FBI Throwing MAJOR SHADE after seizing Bored Ape NFT from Scammer
A hero and their name is ZachXBT
ZachXBT’s investigation played a key role in helping the FBI identify Senecal and his on-chain activity. After seeing Horroz (HZ) brag about a flashy Audemars Piguet (AP) Royal Oak Watch on social media, ZachXBT traced the payment for the watch to a blockchain address that was funded by multiple addresses used in phishing scams. This information ultimately helped the FBI in their seizure of Senecal’s property.
2/ HZ was responsible for using a Twitter panel to take over accounts like @Zeneca @nounsdao @ezu_xyz @deekaymotion @JRNYclub as well as Discord server attacks @AnataNFT @Lacoste— ZachXBT (@zachxbt) February 3, 2023
The thread which started it all I’ve attached below. https://t.co/6dsfZ5jnGl pic.twitter.com/8EYl1yuIik
It is worth noting that this is not the first time that ZachXBT’s research has helped government authorities in catching alleged fraudsters. In October, France’s national cyber unit cited ZachXBT’s work in helping it catch and charge a group of individuals on suspicion of stealing $2.5 million worth of NFTs via phishing scams.
The FBI’s seizure of NFTs and Ether from an alleged phishing scammer is a step in the right direction for the crypto community and a sign that authorities are taking the issue of crypto scams and NFT scams seriously. It is crucial for the growth of the technology that these scams are brought to an end, and it is encouraging to see the efforts being made by the FBI and individuals like ZachXBT to make this happen.
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