The Postal Police has identified the author of the largest cyber-financial attack in Italy, one of the largest ever in the world in the cryptocurrency sector: a 34-year-old Florentine responsible for a "hole" equal to 120 million euros on the hacked computer platform "BITGRAIL".

Over 230 thousand savers scammed. The man is accused of computer fraud, self-laundering and fraudulent bankruptcy. The Italian Postal Police sets a milestone worldwide in the field of investigations on cryptocurrencies, with a unique investigation of its kind with a high technological impact.

The investigators of the Postal Police of Florence and of the financial cybercrime Section of the Central Service of the Postal Police in Rome, and with the help of the staff of the Financial Police of the Judicial Police Section of the Public Prosecutor's Office of Florence, are carrying out the precautionary measure of the prohibition to carry out business activities and to hold managerial offices in companies, issued by the judge for preliminary investigations dott. Gianluca Mancuso, against FF, a 34-year-old from the province of Florence sole director of an Italian company that manages a cryptocurrency exchange platform (exchange), held responsible for a 120 million euro computer fraud, fraudulent bankruptcy and auto recycling.

For the first time in Italy and in Europe, fraudulent and distracting conduct to the detriment of investors was documented, carried out entirely on IT platforms and the use of virtual currencies.

The activity is part of a broader strategy aimed at combating economic crime and in particular illegal enrichment through the improper use of online platforms and IT tools that the investigations carried out reveal an increasing increase, developed by the Public Prosecutor of Florence , directed by the Chief Prosecutor dott. Giuseppe Creazzo, who entrusted the investigation to the Assistant Prosecutor dr. Luca Tescaroli and the Deputy Prosecutor dott. Sandro Cutrignelli of the Computer Crimes Department, and the Deputy Prosecutor dott. Gabriele Mazzotta and the Deputy Prosecutor dott. Fabio Di Vizio of the Corporate and Bankruptcy Crimes Department.

The complex and delicate investigation carried out by the Florence Department, with the productive collaboration of the financiers working at the Florentine Public Prosecutor's Office, was launched in February 2018, following a complaint presented by FF, sole administrator of the exchange platform, relating to the theft of a large sum of the cryptocurrency called "NANO" XRP for a value of approximately 120.000.000,00 euros, made by exploiting a bug in the Nano protocol and carrying out illegal transactions, all relating to January 2018.

The man, already known to investigators as a supplier of virtual currency called Bitcoin (BTC), used as a financial instrument of payment in extortion phenomena linked to cryptolocker viruses, despite his apparent collaborative conduct, has prompted the investigators not to exclude his actual involvement in the affair, especially following conflicting and contradictory statements by the same and his collaborating partners.

With the passing of the months and the continuation of the investigative activity - with the coordination of the Postal Police and Communications Service of Rome and the support of the American FBI, also with technical interception activities and complex computer analysis of the database of the exchange - the involvement of man in the disputed crimes emerged. The investigations carried out have in fact shown that the illicit theft of cryptocurrency took place several times, starting from June 2017, and that FF knowingly did not prevent them by failing to implement the security of the platform with one of the available methods disclosed by the Nano Developers Team. (American company creator of the cryptocurrency), thus providing hackers, not yet identified, a huge unfair profit, for the amount of about 11.500.000 XRB, equivalent to about 120.000.000 euros, damaging more than 230.000 people throughout the world (moreover with the aggravating circumstance of having committed the facts with abuse of the quality of system operator).

In keeping the platform open, despite having identified the illicit withdrawals of Nano Moneta, and not informing the Nano Team, the community and users of the verified shortages, at least of the large quantities withdrawals that took place in July and October 2017, FF continued to attract new users, who in a few months went from 70.000 to about 217.000, benefiting from the notoriety of being the first and only Italian exchange to deal with XRB (which later became Nano), also taking advantage of the circumstance of the growing increase in value of the cryptocurrency (just think that between 14 and 31 December 2017 the value of the cryptocoin XRB Nano goes from $ 3,17 to $ 20,45, with a greater differential increase than Bitcoin), despite being aware of the lack of sufficient funds in XRB to coverage of the personal wallets of the thousands of users of the platform, on a worldwide scale, obtaining an unfair profit corresponding to the profits obtained from deposits and ding, which increased dramatically in the period between December 2017 and February 2018 precisely in correspondence with the exploit of the XRB (Nano) on the market. On the other hand, it should be noted that users to purchase XRB Nano, in the period between 1 December 2017 and 28 February 2018, moved and paid BITCOIN for a value equivalent to 593.527.000 euros. The increase in FF commissions was paid to this inflow and the consequent transactions

The investigators also through complex computer investigations and analysis of online banking transactions, with the collaboration of the officers of the UIF (Financial Information Unit) of the Bank of Italy and the PG Section - Guardia di Finanza rate of the Florence Public Prosecutor's Office, ascertained that the man, three days before the filing of the complaint, had transferred to his personal account, hinged at the digital currency exchanger company "The Rock Trading Srl" in Malta, 230 cryptocurrencies Bitcoin BTC (which at the exchange rate in the reference period corresponded to approximately 1.700.000 euros), attributable to the customers of the exchange platform. 3652 addresses out of 3890 total addresses (which originated the transactions present on the personal account, were found to be present in the database of the exchange platform, however not detectable by consulting the databases relating to traditional monetary and financial assets, in order to concretely hinder the identification of their criminal origin. Values ​​that FF, in May 2018, partly transformed into legal currency by converting it into the sum of 514.690,00 euros through trading operations. Subsequently it tried several times to withdraw, in an attempt to "empty" the account. The timely intervention of the PM holders of the investigation prevented its distraction, through the seizure of all the accounts of the suspect, including the results in cryptocurrency up to the value of 120.000.000,00 euro (sum corresponding to the debt exposure).

Undoubtedly it was an articulated and complex operation, of which there were no precedents, carried out for the first time in Europe with innovative techniques by the Postal and Communications Police of Florence, through the creation of a protocol for the transfer of the cryptocurrency. placed under seizure.

Furthermore, 6 search decrees issued against FF and its partners and collaborators were carried out, with the seizure of a large number of computer devices (PC, hard-disk, pendrive).

As a result of the investigations carried out, the GIP decided to accept the request of the public prosecutors, issuing the precautionary measure of the prohibition to carry out business activities and to hold managerial offices of companies already during the preliminary investigations, as it recognized the existence of serious evidence of guilt collected, the danger of the subject inherent in his incessant activity aimed at depriving the corporate creditors of assets and values ​​on which they could have satisfied their credit and the risk that FF, endowed with uncommon technical skills, could easily repeat criminal conduct, by engaging in other IT frauds to the detriment of creditors through the operation of a business.

Finally, the activity testifies to the high competence and professionalism, as well as the constant commitment of the Postal Police to protect the cyber economy and critical, IT and financial infrastructures, together with the contribution of the Guardia di Finanza in its role as economic police. - financial, an increasingly important activity also in light of the difficult moment caused by the epidemiological emergency in progress. In fact, online is no longer perceived as an accessory moment, but as a substantial moment in people's lives, who, not being able to take advantage of the normal financial instruments, have decided to invest in online trading and digital currencies, in such a way. to diversify their investments adequately, but at the same time exposing themselves to the risks of computer fraud.

The author of the maxi cyber-financial attack on BITGRAIL has been identified