Ex-Microsoft developer clears flights with Bitcoin

Credit: Pixabay – Gino Crescoli

A former software engineer from Microsoft has been tried in the United States for 18 federal offenses. He is accused of flight over $ 10 million, including gift cards. To conceal the fraud, he was using a mixer Bitcoin.

Volodymyr Kvashuk, 25, of Ukrainian descent, was employed by the American publisher Microsoft as a software developer. He was on trial this week in a Seattle court for fraud and flight.

Justice accuses him of having stolen from his employer for $ 10 million in digital goods, mainly gift cards. Recruited by Microsoft in August 2016, Kvashuk was involved in tests conducted on the publisher’s e-commerce platform.

A malicious developer hidden in an e-commerce system

The developer therefore used his computer skills to hack the system and steal the company until his dismissal in June 2018. The amount of the damage is thus estimated at 10 million dollars. The fruit of his thefts was converted into bitcoins.

This activity proved to be particularly lucrative for the suspect, who risks up to 12 years in prison (the sentence will be pronounced in June). Among other things, his thefts allowed him to buy property worth $ 1.6 million, as well as a Tesla vehicle estimated at $ 160,000.

Aware of the importance of his theft and the risk of being discovered by his employer, Volodymyr Kvashuk naturally tried to hide his actions. He used the accounts of other developers, thereby impersonating their identities.

Bitcoins laundered using crypto-mixing

Above all, however, he tried to conceal the origin of the funds transferred to his bank accounts. For this, and as is often the case with money laundering, the accused resorted to a crypto-mixing service, also called "blender bitcoins ".

Thus, during his 7 months of illegal activities, the former engineer transferred to his accounts for $ 2.8 million in bitcoins. At the same time, he tried to deceive the tax authorities, assuring them that the cryptocurrency was a gift from a relative.

Criminals who think they can avoid being discovered using cryptocurrency and laundering through blenders are warned … you will be caught and you will be held accountable, ”said an officer in the US tax cybercrime unit. during the trial.