Raid and Missing Crypto
In 2019, a police raid seized a hardware wallet containing 81.62 Bitcoins, worth $309,000 at the time. When investigators accessed the wallet later, the Bitcoins were gone.
Seed Phrase Breakthrough
Investigators discovered a device with the wallet’s seed phrase, a unique recovery code. Using crypto-tracking software, they traced the transferred Bitcoins to Officer William Wheatley’s online activity.
Officer’s Denial
Wheatley was suspended and accused of exploiting his access to the wallet. However, he denies wrongdoing, claiming a technical glitch caused the loss.
Impact on Crypto Forensics
This case highlights the effectiveness of crypto-tracking software in combating crypto-related crimes. However, concerns arise about potential misuse and privacy violations.
Hardware Wallet Vulnerability
The incident also raises concerns about the vulnerability of hardware wallets, as Trezor recently disclosed a major hack affecting numerous users.
