Three Tennessee men indicted in alleged $6.5 million crypto robbery spree

A U.S. federal grand jury has indicted three men for their alleged roles in a $6.5 million crypto robbery spree targeting victims across multiple cities in California.

The three suspects — Elijah Armstrong, Nino Chindavanh, and Jayden Rucker — allegedly conspired to kidnap and rob victims in San Francisco, San Jose, Sunnyvale, and Los Angeles, according to a Monday statement from the Department of Justice. 

The defendants allegedly gained access to victims' residences by posing as delivery workers, and assaulted victims using firearms, duct tape, and zip ties to steal their money and crypto assets. In one case, a victim was forced to hand over access to his cryptocurrency accounts, allowing the conspirators to transfer roughly $6.5 million in crypto to a wallet they controlled.

The three have been indicted on conspiracy charges to commit robbery and kidnapping, per the statement. Chindavanh first appeared in federal court in San Francisco last month, while Armstrong and Rucker made their initial appearances on Monday.

"These individuals, as alleged, terrorized their victims in the hopes of stealing vast sums of cryptocurrency. The scheme was not only sophisticated, it was brazen, violent, and dangerous," said U.S. Attorney Craig H. Missakian. 

If convicted, the defendants face up to 20 years in prison and a $250,000 fine for each count of conspiracy to commit robbery and attempted kidnapping. They also face a maximum sentence of life in prison and a $250,000 fine for each count of conspiracy to commit kidnapping, according to the DOJ.

Crypto-related crime has been on the rise, with fraud losses hitting a record $11.3 billion last year, accounting for more than half of the $20.9 billion in total internet crime losses tracked by the FBI.

Earlier this month, a California man was sentenced to 78 months in prison for his role in a nationwide social engineering conspiracy that stole over $250 million in crypto assets across the country.