Former FBI Agent Charged With Stealing Nearly $1 Million in Crypto and Using ChatGPT for Investment Advice
Prosecutors say the former counterintelligence supervisor stole cryptocurrency from wallets tied to FBI investigations before asking ChatGPT how to invest the money and relocate to Europe.
A former FBI special agent has been charged with stealing approximately $1 million in cryptocurrency from digital wallets connected to active federal investigations. Prosecutors allege that the agent, who served as a counterintelligence supervisor, accessed seized crypto assets under his purview and transferred funds to personal accounts. Compounding the case, investigators say he then turned to OpenAI's ChatGPT to seek advice on how to invest the stolen funds and plan a potential relocation to Europe.
The case highlights a significant breach of trust within law enforcement, where agents are granted privileged access to evidence — including digital assets — as part of their official duties. Seized cryptocurrency is typically held in custody pending legal proceedings, requiring strict chain-of-custody protocols. The allegations suggest those internal safeguards failed to prevent insider misconduct at a senior supervisory level.
The incident raises broader questions about security vulnerabilities surrounding government-held digital assets and the adequacy of oversight mechanisms within agencies handling crypto-related investigations. As law enforcement increasingly encounters cryptocurrency in criminal cases, the need for robust internal auditing and multi-signature custody controls has become more pressing across federal institutions.
Prosecutors have not yet disclosed which specific investigations the wallets were tied to or the full timeline of the alleged theft. The case is expected to proceed through federal court, and observers will be watching closely for details about how the breach went undetected for as long as it reportedly did.
Source: Decrypt
