Minnesota Man Avoids Jail Time for Cryptojacking Former Workplace
A former employee exploited his company’s servers to mine Ethereum for a year, earning under $6,000 but costing $45,000 in damages. His case underscores how economic hardship can fuel low-profile crypto crimes.
A Minnesota man was sentenced to fines and probation after a yearlong Ethereum cryptojacking scheme. He compromised his former employer’s systems to mine ETH every night for around a year.
Despite causing $45,000 in server costs, the culprit earned less than $6,000. Economic desperation fueled this low-profile crime, and deteriorating circumstances may lead to similar incidents.
Ethereum Cryptojacking Explained
Cryptojacking, exploiting a computer to mine digital assets, is an old scheme in the crypto space that has popped back up periodically. Recently, a Minnesota man was sentenced to three years of probation and a $45,000 fine for cryptojacking his former employer to mine Ethereum.
According to local press, Joshua Paul Armbrust used a cryptojacking scheme to surreptitiously mine Ethereum for over a year.
After resigning from Digital River, a payment processing and e-commerce firm, he used his AWS access to making the firm’s computers mine ETH from 6 PM to 7 AM on a daily basis.
“The defendant’s conduct strikes at the core of digital trust and security. Companies rely on former employees to act ethically, even after separation, and to respect corporate systems and data. Unauthorized access to corporate cloud infrastructure… exposes sensitive systems to potential compromise,” said Assistant US Attorney Bradley Endicott.
However, compared to some previous cryptojacking schemes, this Ethereum mining operation was rather small. In total, Armbrust only managed to mine and liquidate $5,895 worth of ETH. These activities cost Digital River upwards of $45,000 in service fees.
All things considered, this wasn’t an effective operation.
Still, the defendant accepted responsibility for these actions, claiming that he used the funds to care for his ailing mother. This, and the fact that he didn’t cover his tracks, helped him win a light sentence.
Although Armbrust will have to recoup Digital River’s server costs and serve probation, he won’t be incarcerated.
Rampant greed is fueling today’s crypto crime supercycle, but real desperation powers illicit activities too. Small-scale offenses like this Ethereum cryptojacking scheme can remain undetected for years thanks to their low profile.
If the US’s economic prospects continue deteriorating, we might see more of this behavior soon.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
The Rise of a Dynamic Clean Energy Market: Ushering in a New Age for VPPA Transactions
- CleanTrade, a CFTC-approved platform, addresses fragmented clean energy markets with transparent VPPA trading. - It enables institutional investors to manage risks and optimize yields via real-time liquidity and standardized pricing. - The platform's $16B notional value highlights growing demand for structured risk tools in renewables. - Regulatory oversight and data-driven analytics enhance credibility, fostering institutional confidence in clean energy investments.
Do Kwon to Serve 15 Years Behind Bars for the $40B LUNA Fraud
VIPBitget VIP Weekly Research Insights
Global risk assets are entering a phase where multiple catalysts are aligning, driving a new wave of momentum in technology and growth stocks. Trump has revived his "tariff dividend" proposal (a $2000 check per person), the U.S. government shutdown crisis is nearing resolution (with fiscal spending expected to resume before December 11), and the probability of a Fed rate cut in December has surged to 95% (with markets even partially pricing in a 50-basis-point cut). Expectations of ample liquidity are rising across the board. U.S. tech stocks and high-beta growth names are positioned to benefit first. Themes such as AI infrastructure, retail brokers (supported by the convergence of crypto and U.S. stock trading), and digital-asset infrastructure are likely to lead the rally. The Nasdaq index is expected to see further upside in the near term, while select quality stocks offer notable rebound potential. As a globally leading Universal Exchange (UEX), Bitget has fully integrated tokenized stocks and futures products, bridging traditional finance with the wider digital-asset ecosystem. Through strategic partnerships with institutions such as Ondo Finance, Bitget Onchain now supports on-chain tokenized trading for more than 100 stocks and ETFs. Users can trade tokenized stocks—including NVDA, HOOD, TSLA, MSTR, COIN, META, and other popular names—directly in the spot market, and also access perpetual futures on individual stocks within Bitget's futures section.
Investing in Health-Focused Industries: A Strategic Transformation in Consumer and Business Practices
- Global wellness economy is transforming through health, financial , and environmental priorities, driven by consumer demand, corporate innovation, and policy shifts. - Health wellness market projected to grow from $3.8T to $5.27T by 2033, fueled by AI adoption, wearables, and preventive care advancements. - Sustainable living sector will expand 3.8x to $29.97B by 2033, accelerated by green tech (23.1% CAGR) and corporate net-zero commitments. - Financial wellness tech grows at 10.25% CAGR, with AI-driven
Trending news
MoreCrypto prices
More
