Nuclear Scientist Caught Trying To Trade Secrets For Crypto
Source: Pixabay

A US Nuclear scientist from Maryland pled guilty to an attempted espionage offense on February 14, 2022. He is accused of trying to sell US nuclear warship designs to a foreign entity for crypto.

Details Of The Arrest

According to an information charge published by the DoJ, Jonathan Toebbe 43, from Annapolis, Maryland, was arrested on October 9, 2021, after he placed an SD card containing state secrets at a dead drop in West Virginia.

Toebbe was working at the Department of the Navy as a nuclear engineer at the time of his arrest. During the time of his arrest, he was assigned to Naval Reactors, which are the nuclear plants that power naval ships. His authorization gave him access to restricted data concerning the design, manufacture, or utilization of atomic weapons as well as the production of nuclear material and their use to produce energy. Toebbe had clearance to a lot of information including the performance characteristics of naval nuclear-powered ships.

How He Was Caught

In April 2020, Toebbe sent a package to a foreign government with a listed return address. It contained a sample of restricted nuclear secrets as well as instructions on how the foreign government could buy more secrets. Toebbe began a correspondence with a person he believed to be a foreign government representative. In reality, it was an FBI agent. Eventually, Toebbe reached an agreement to sell nuclear secrets for thousands of dollars in crypto.

Initially, the FBI agent sent Toebbe $10,000 in crypto as a good faith payment. Toebbe then left the SD card at a dead drop inside a peanut butter sandwich. Once the agent had the SD card, they sent another $20,000 to Toebbe. After that, Toebbe sent the agent a decryption key for the SD card. When agents checked the SD card, they found that it indeed contained restricted data.

In another instance, Toebbe sent an SD card inside a pack of chewing gum, for which he received $70,000 in crypto. The SD card was checked and found to contain nuclear secrets.

In October 2021, the FBI eventually arrested Toebbe on charges of conspiring to communicate restricted data. He faces a life sentence and a $100,000 fine. However, he pled guilty and the sentence he faces was lowered to 12 and a half years in federal prison. The possible sentence for his wife, who was charged along with him, was not revealed in the DoJ press release. It has also not been revealed whether or not authorities were able to recover the crypto they sent to Toebbe.

Assistant AG Mathew G. Olsen, commenting on the arrest and charge, noted that Toebbe was entrusted with state secrets but he chose to betray that trust. He tried to sell the secrets for personal profit.

Notice: Information contained herein is not and should not be construed as an offer, solicitation, or recommendation to buy or sell securities. The information has been obtained from sources we believe to be reliable; however, no guarantee is made or implied with respect to its accuracy, timeliness, or completeness. Authors may own the cryptocurrency they discuss. The information and content are subject to change without notice. Visionary Financial and its affiliates do not provide investment, tax, legal, or accounting advice.

This material has been prepared for informational purposes only and is the opinion of the author, and is not intended to provide, and should not be relied on for, investment, tax, legal, accounting advice. You should consult your own investment, tax, legal, and accounting advisors before engaging in any transaction. All content published by Visionary Financial is not an endorsement whatsoever. Visionary Financial was not compensated to submit this article Please also visit our Privacy policy; disclaimer; and terms and conditions page for further information.

You May Also Like
Colorado Will Accept Crypto For State Taxes

Colorado Will Accept Crypto For State Taxes

The Governor of Colorado Jared Polis, announced on February 23, 2022, that…
ElectroRAT Malware that Stole Crypto Went Undetected for Over a Year

ElectroRAT Malware That Stole Crypto Went Undetected For Over A Year

Bitcoin has continued its unprecedented bull run going into the new year.…
Celebrities Including Kim Kardashian And Floyd Mayweather Sued For Role In Crypto Scam

Celebrities Including Kim Kardashian And Floyd Mayweather Sued For Role In Crypto Scam

A slew of celebrities, including Floyd Mayweather and Kim Kardashian, have been…
ryan felton

Producer Ryan Felton Indicted by Federal Grand Jury For Crypto Fraud

Ryan Felton was indicted on September 12, 2020, by a federal grand…

UN Secretary General Advocates for Blockchain Adoption

According to a recent Forbes report, UN Secretary-General António Guterres wants the organization…

Coinbase Receives e-money license by the Central Bank of Ireland

Major crypto exchange Coinbase recently announced that it has secured an e-money…
Axie Infinity

Axie Infinity Loses $600 Million To Hackers

Axie Infinity, the popular blockchain game, has lost over $600 million worth…

Could China Outlaw Bitcoin Mining After Unleashing Its Centralized Digital Currency?

As Bitcoin approaches its 3rd halving this month, many fundamentals will change…
The Ripple Lawsuit And XRP - Overview And Recent Developments

The Ripple Lawsuit And XRP – Overview And Recent Developments

Ripple Labs, Inc. (Ripple), creators of the cryptocurrency XRP, are in the…
South Korea's New President Could Introduce Crypto-Friendly Laws

South Korea’s New President Could Introduce Crypto-Friendly Laws

The new president of South Korea Yoon Suk-yeol, who is considered a…