Australian Authorities Seize Bitcoin, Luxury Mansion Tied to 2013 Crypto Exchange Hack

Key Highlights

• Australian Federal Police (AFP) seized 25 BTC, a luxury home, and a Mercedes-Benz worth AUD 4.5 million ($2.88M).

• The assets are allegedly connected to the 2013 theft of 950 Bitcoin from a French crypto exchange.

• The individual involved, Shane Stephen Duffy, has a prior conviction for cybercrime and fraud.

• No criminal charges were filed in relation to the Bitcoin theft, but a court forfeiture order was obtained.

• Seized assets will be liquidated to support crime prevention and law enforcement initiatives.

Bitcoin, Mansion, and Car Forfeited

An Australian man from Queensland has forfeited high-value assets following an investigation by the Criminal Assets Confiscation Taskforce (CACT). The AFP announced on May 18 that it had seized:

• Nearly 25 Bitcoin (BTC)

• A waterfront mansion

• A Mercedes-Benz vehicle

Combined, the seized assets are valued at approximately 4.5 million AUD ($2.88 million USD).

A waterfront mansion in Queensland was confiscated under the allegation that it's linked to the theft of 950 Bitcoin. Source: Australian Federal Police

International Investigation Linked to Crypto Theft

The case dates back to September 2018, when law enforcement in Luxembourg shared information with the AFP regarding suspicious Bitcoin transactions. Investigators allege that these funds were linked to the 2013 theft of 950 BTC from a French cryptocurrency exchange.

The man, identified by Australian media as Shane Stephen Duffy, had a prior conviction for hacking and fraud. However, no new criminal charges were laid in connection to the 2013 crypto theft.

Instead, authorities obtained a court order in April under proceeds-of-crime laws, seizing the assets on the grounds that they couldn’t be connected to any “identifiable legitimate earnings

A History of Cybercrime

According to 7NEWS, Duffy previously pleaded guilty in 2016 to charges of fraud and computer hacking. He had sold the personal data of League of Legends players, acquired during or after a cyberattack on developer Riot Games in 2011. That breach compromised the data of more than 5 million users.

Source: Australian Federal Police

Although Duffy was not accused of participating in the original hack, prosecutors said he acquired the stolen data online and profited from its sale. He was also accused of hacking the X (formerly Twitter) account of Riot Games President Marc Merrill to promote his illicit services.

AFP Wields Unique Legal Powers

AFP Commander Jason Kennedy emphasized the strength of the agency's legal tools in tackling cyber-enabled crime:

“The AFP has unique powers under the Proceeds of Crime Act to restrain and forfeit assets suspected of being linked to criminal activity,” he said.

Kennedy added that targeting criminal proceeds helps prevent future crimes by cutting off financial incentives.

The AFP confirmed that funds recovered through the sale of these assets will be directed to a special purpose fund, which supports crime prevention, law enforcement, and community safety programs.

Since July 2019, the Criminal Assets Confiscation Taskforce has restrained more than $1.2 billion worth of criminal assets—including real estate, cars, yachts, cryptocurrencies, and fine art.