FBI’s undercover $250 Bitcoin payment helps take down alleged serial corporate hacker

The Block

Jun 26, 2025 20:04:19

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The United States Federal Bureau of Investigation (FBI) apprehended alleged serial hacker Kai West after an agent sent him $250 worth of bitcoin, a move that helped uncover the suspect.

According to a Department of Justice statement, West, a 25-year-old British national also known as "IntelBroker" and "Kyle Northern," and his co-conspirators allegedly sold stolen data from over 40 other victims, including a telecommunications firm, municipal health care provider, and an internet services company.

West primarily accepted payments using the privacy token Monero (XMR), enabling to operate in the black market. However, on Jan. 26, 2023, an undercover law enforcement officer offered West $250 in BTC to purchase a victim's data. West accepted the offer and received the officer's BTC payment, a pivotal move that lead to officers tracking him down, according to the FBI's complaint.

"The arrest of IntelBroker shows just how far law enforcement has come in the crypto space," Ari Redbord, global head of policy and government affairs at the blockchain forensics firm TRM Labs, told The Block in an email. "The FBI used a $250 Bitcoin transaction to help identify and apprehend a hacker who had long operated in the shadows. What makes this case stand out is the use of an undercover operation — something we’ve seen in traditional investigations for decades — now applied to blockchain-based crime."

"The ability to track even small payments on a public ledger, which is not possible in traditional financial crime investigations that are often triggered by large payments or withdrawals, gave agents the thread they needed to follow, linking wallet addresses, email accounts, and user identities," Redbord continued.

West and his co-conspirators allegedly offered to sell hacked data at least 41 times — looking to raise $2 million — and disseminated it for free about 117 times between 2023 and 2025. The FBI estimates West's hacks cost victims about $25 million in total losses.

West was arrested in France in February and now awaits extradition. He faces charges including conspiracy to commit computer intrusions, wire fraud and wire fraud conspiracy, and accessing a protected computer to obtain information, the FBI release continues.

Monero (XMR) is the 30th-largest cryptocurrency with a $5.8 billion market cap. XMR tokens are currently trading at around $312 as of press time, according to The Block's data.

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