Former FBI Agent Charged with $1 Million Crypto Theft

A former FBI supervisory special agent has been arrested and charged with stealing approximately $1 million in cryptocurrency from digital wallets the bureau was monitoring as part of national security investigations. Patrick Steven Yaroch, 37, was arrested on July 31, 2026, and faces federal charges of interstate transportation of stolen goods and receipt of stolen goods.

According to court documents unsealed on Monday, August 3, Yaroch allegedly used his top-secret security clearance and internal FBI systems to access recovery phrases for cryptocurrency wallets linked to an unnamed foreign adversary. While assigned to the FBI's Counterintelligence and Espionage Division, he is accused of memorizing those phrases and transferring the funds to accounts under his control in a series of 10 to 12 transactions beginning in late 2024 or early 2025.

The scheme unraveled when Yaroch, described as emotionally distraught, contacted a Justice Department employee via the Signal messaging app on July 28 to confess. He met with the employee the following day at FBI headquarters, where he reportedly broke down and stated his actions were "eating him up inside." He later told FBI agents during...