20-Year-Old Sentenced 78 Months in $250M Crypto Theft

Marlon Ferro, a 20-year-old from California who used the online name “GothFerrari,” was sentenced on Wednesday to 78 months in federal prison for his role in a social-engineering conspiracy that stole more than $250 million in cryptocurrency. He was also ordered to serve three years of supervised release and to pay $2.5 million in restitution.

Federal prosecutors described Ferro as part of a coordinated enterprise that combined online fraud with physical burglaries to target high-value crypto holders between late 2023 and early 2025. Authorities say the group used hacked databases, targeted lists, fraudulent phone calls and laundering techniques to access victims’ accounts. When deception failed, members carried out residential break-ins to seize hardware wallets and other devices.

Investigators documented multiple incidents tied to Ferro. In February 2024 he traveled to Texas and broke into a home to remove a hardware wallet that held roughly 100 bitcoin, about $5 million at the time. In July 2024 he forced entry into a residence in New Mexico; surveillance footage from that home later helped secure his arrest in May 2025. At arrest, agents found two firearms and a false identification card in his possession.

Ferro pleaded guilty in October 2025 to one count of conspiracy to participate in a racketeer-influenced and corrupt organization. The case was handled by U.S. District Judge Colleen Kollar-Kotelly. Prosecutors outlined Ferro’s role in stealing funds and taking steps to launder proceeds through cryptocurrency exchanges.

U.S. Attorney Jeanine Ferris Pirro described Ferro as the “criminal enterprise’s instrument of last resort” and warned, “Cryptocurrency fraud is not a victimless, consequence-free crime carried out safely behind a screen — it is serious criminal conduct that will lead to federal prison.”

Law enforcement officials noted rising losses tied to crypto fraud, reporting $11.3 billion in crypto-related fraud last year, which made up more than half of the $20.9 billion in total internet crime losses tracked by the FBI. Authorities also said an FBI-led international task force recently arrested 276 suspects and dismantled nine scam centers connected to crypto schemes.

The restitution and prison sentence address the charges against Ferro; federal prosecutors continue to pursue other members of the network and to work with international partners to disrupt similar criminal operations.