In a significant development in the ongoing saga of the FTX hack, the US Department of Justice has charged three individuals with a yearslong phone hacking conspiracy that led to the infamous theft of $400/$477 million from the crypto exchange

The charges offer a possible solution to one of the most vexing questions left in the FTX, what happened to hundreds of millions of dollars in crypto that disappeared in the exchange's darkest hour, and right after it filed for bankruptcy protection.

D.C Court

According to an 18-page indictment filed in D.C. court, Robert Powell, Carter Rohn, and Emily Hernandez were accused of conspiracy to commit wire fraud and identity theft in their operation of a SIM swapping ring that targeted fifty victims between March 2021 and April 2023. The trio's most notable heist came on November 11, 2022, when they siphoned $400 million from an unidentified company. Bloomberg, citing sources familiar with the matter, revealed that the company was FTX.


The charges against Powell, Rohn, and Hernandez are the latest development in a long-running investigation into the $400 million theft, which occurred during FTX's collapse in November 2022. The hacking incident marked a low point in the exchange's tumultuous history, with uncertainty surrounding the fate of the missing funds and the future of the platform.

The trio

The indictment sheds light on the elaborate scheme employed by the hackers to gain unauthorized access to FTX's systems. The trio allegedly targeted an employee of the crypto exchange through AT&T and transferred out hundreds of millions of dollars worth of crypto. The hackers used their ill-gotten gains to buy luxury goods, including a $1.3 million home in Texas, according to court documents.

The charges against Powell, Rohn, and Hernandez come as a relief to the cryptocurrency community, which has long been grappling with the aftermath of the FTX hack. The incident raised questions about the security of crypto exchanges and the potential for hackers to exploit vulnerabilities in the system.

The case

The case is being closely watched by regulators and industry leaders, who are working to strengthen security measures and prevent similar incidents in the future. The indictment serves as a reminder that the cryptocurrency space is not immune to legal proceedings and that law enforcement agencies are committed to holding those responsible accountable.


The charges against Powell, Rohn, and Hernandez offer a possible solution to the mysterious disappearance of $400 million from FTX. The case highlights the need for increased security measures and regulatory oversight in the cryptocurrency space to prevent similar incidents from occurring in the future.

As the industry continues to grow and evolve, it is essential that stakeholders prioritize security and compliance to ensure the long-term viability of the space.

References:

Nelson, D. (2024, February 1). FTX Hack Mystery Possibly Solved: U.S. Charges Trio With Theft, Including Infamous Attack on Crypto Exchange. Retrieved from https://www.coindesk.com/policy/2024/02/01/ftx-hack-mystery-possibly-solved-us-charges-trio-with-theft-including-infamous-attack-on-crypto-exchange/

Research, E. (2023, October 12). The $477 million FTX hack: a new blockchain trail. Retrieved February 2, 2024, from https://www.elliptic.co/blog/the-477-million-ftx-hack-following-the-blockchain-trail

elegant_solution. (n.d.). Retrieved January 13, 2024, from https://www.freepik.com/author/user28432665

Freepik - Goodstudiominsk. (n.d.). Retrieved January 5, 2024, from https://www.freepik.com/author/goodstudiominsk

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