FBI Agent Arrested for Stealing $1 Million in Crypto

A veteran FBI agent turned himself in this week after prosecutors accused him of stealing almost $1 million in cryptocurrency. Patrick Steven Yaroch, a supervisory counterintelligence officer with top secret clearance, allegedly used classified case files to steal wallet passphrases. These wallets belonged to foreign nationals targeted in federal investigations.

Investigators say Yaroch quietly drained the funds across 10 to 12 transactions starting in late 2024. He then stored the stolen digital assets in his own wallet. However, he did not get caught through blockchain tracking. Instead, Yaroch confessed the crime to a colleague over Signal, saying the secret was eating him up inside. Agents later recovered over $925,000 of the stolen crypto during his arrest.

Search records show he was preparing a getaway before his confession. Yaroch used AI chatbots to ask about investing a sudden windfall and researched residency rules in Europe. He had even booked a flight to Portugal and arranged legal paperwork in the country before turning himself in.

The FBI fired Yaroch right after the affidavit became public, and he now faces federal charges that carry potential decades in prison. The case highlights a growing problem for the crypto industry, where security threats come not just from external hackers, but also from trusted insiders with direct access to private keys.