Scattered Spider Hacker Sentenced to 10 Years for $13M Cryptocurrency Theft

A 20-year-old member of the notorious cybercrime gang Scattered Spider has been sentenced to 10 years in federal prison for orchestrating massive cryptocurrency thefts through SIM swapping attacks. Noah Michael Urban must also pay $13 million in restitution and serve three years of supervised release.

Urban, who operated under aliases including Sosa and Gustavo Fring, pleaded guilty to wire fraud and aggravated identity theft charges in April 2025. The sentence represents one of the most significant prosecutions of cryptocurrency-related financial crimes in the digital age.

Rising Threat of Organized Cybercrime

The case highlights the growing sophistication of cybercrime groups targeting digital assets. Between August 2022 and March 2023, Urban and his co-conspirators stole at least $800,000 from five victims through SIM swapping – a technique where criminals hijack phone numbers to bypass security measures on cryptocurrency accounts.

To protect against such attacks, experts recommend implementing robust multi-factor authentication beyond SMS verification.

"Scattered Spider has historically leaned on tactics that generate urgency, drive media attention, and create fear of exposure," explained Adam Darrah, vice president of intelligence at ZeroFox. "Their ties to a wider network of like-minded actors has given them access to more tools, data, and infrastructure, multiplying their effectiveness."

Broader Criminal Network Emerging

The sentencing comes as Scattered Spider has formed a new alliance with other prominent hacking groups ShinyHunters and LAPSUS$. This consolidation appears driven by increased law enforcement pressure, according to security experts.

The group employs a systematic approach, targeting multiple organizations within specific sectors in concentrated waves. Their tactics rely heavily on social engineering rather than technical exploits, demonstrating how human deception can bypass even advanced security systems.

Enhanced Security Measures

As cybercriminals become more sophisticated in their approach to identity theft through social media platforms, organizations must strengthen their security protocols. According to the FBI's Internet Crime Complaint Center, cryptocurrency-related crimes resulted in losses exceeding $10 billion in 2022.

Key Security Recommendations:

• Implement hardware security keys for critical accounts
• Maintain separate devices for high-value cryptocurrency transactions
• Regularly update security protocols and employee training
• Monitor accounts for unauthorized access attempts
• Create comprehensive incident response plans

The case serves as a stark reminder of the evolving threats in the cryptocurrency space and the importance of maintaining robust security practices. As criminal groups consolidate and enhance their capabilities, both individuals and organizations must remain vigilant against social engineering attacks.