A Canadian teenager has pleaded guilty in the United States after prosecutors said he helped steal more than $13 million in cryptocurrency through social engineering scams, using part of the funds to pay for private jets, luxury cars, jewelry and a lavish lifestyle in Miami and Los Angeles.
Trenton Richard Johnston, now 20, was first arrested in March during a traffic stop for speeding. What started as a routine stop soon led investigators to a wider crypto fraud scheme involving impersonation, stolen digital assets and money laundering.
How the $13M Crypto Scam Worked
US prosecutors charged Johnston in May, when he was 19, over a scheme that allegedly involved impersonating employees from Google, Trezor and other crypto-related companies. The goal was to trick victims into believing their accounts or wallets were under threat.
By gaining their trust, Johnston and his co-conspirators were able to access victims’ cryptocurrency accounts and drain funds. These types of crypto social engineering scams have become a growing threat, especially as attackers use more advanced tools to sound convincing and appear legitimate.
On Tuesday, Johnston pleaded guilty to conspiracy to commit money laundering. As part of the plea agreement, he avoided additional charges that could have carried a maximum sentence of up to 40 years in prison.
Victims Tricked Through Fake Google and Trezor Alerts
According to court documents, Johnston and his co-conspirators began their crypto scam activity around January 2024.
In February, Johnston allegedly convinced one victim that their Google email and Coinbase accounts had been compromised. This allowed the scammers to steal around $41,000 worth of Ether.
Less than a month later, Johnston and others posed as Google and Trezor representatives to target another victim in California. The victim was told that someone was trying to access their cryptocurrency wallet. Prosecutors said the scammers used this tactic to drain around $13 million in Bitcoin.
Why Social Engineering Is So Dangerous in Crypto
Social engineering attacks do not always rely on complex hacking or code exploits. Instead, scammers manipulate victims into taking actions that give away access to their accounts, wallets or private information.
Deddy Lavid, CEO and co-founder of Cyvers, said the case shows how some of the largest crypto thefts today are driven by human manipulation rather than advanced technical attacks.
He explained that crypto makes these scams especially dangerous because transactions are fast and largely irreversible. Once a victim sends funds or gives scammers access, recovering the stolen cryptocurrency can be extremely difficult.
“The attacker only needs to win the victim’s trust once, for a few minutes, and the loss can be permanent,” Lavid said.
Luxury Cars, Private Jets and a Miami Lifestyle
Prosecutors said about $1.2 million of the stolen crypto was used in just two months to fund Johnston’s luxury lifestyle across Miami and Los Angeles.
With help from exotic car-rental company owner Brandon Tardibone, who also pleaded guilty to money laundering, Johnston allegedly spent much of the money buying and renting high-end cars. These included two BMWs and a Lamborghini Aventador SVJ.
The stolen funds were also used to rent a private jet, a house in North Miami and plane tickets for “two girls from New York,” according to prosecutors.
Traffic Stop Led Investigators to the Fraud Scheme
Johnston’s run came to an end in March after police pulled him over for speeding in a Rolls-Royce. Authorities said he was found carrying 21 suspected amphetamine tablets.
Investigators later seized his computer, cellphone and handwritten notes. Those materials helped uncover his connection to the broader cryptocurrency fraud and money laundering operation.
Johnston has since turned over approximately 53.16 Bitcoin and 275.23 Ether, worth around $3.7 million at current prices.
Possible Prison Sentence Under Plea Deal
As part of the plea agreement, prosecutors recommended a sentence of 51 to 63 months in prison for Johnston. They also agreed to dismiss the wire fraud charges in exchange for his full cooperation.
Prosecutors recommended that Tardibone receive a prison sentence of between 27 and 33 months for his role in the money laundering scheme.
US Authorities Increase Crackdown on Crypto Scams
The case adds to a growing list of US enforcement actions targeting cryptocurrency scams, social engineering fraud and crypto money laundering.
In April, California resident Evan Tangeman, 22, was sentenced to 70 months in prison for helping a criminal organization that stole $263 million in cryptocurrency through social engineering and burglary. Tangeman pleaded guilty in December after helping launder at least $3.5 million in illicit funds.
In February, a Chinese national was sentenced to 20 years in US federal prison for a global cryptocurrency scam that stole more than $73 million from victims, including many American investors.
Crypto Security Must Move Beyond Education
Lavid said the crypto industry cannot rely on user education alone to stop these scams.
He said wallets, exchanges, custodians and banks need real-time security controls that can detect suspicious behavior, risky wallet addresses and laundering patterns before funds leave an account.
According to Lavid, the key shift for crypto security is moving from investigating fraud after the theft to preventing it before the transaction is executed.
As cryptocurrency adoption grows, cases like Johnston’s show why users must remain alert when contacted by anyone claiming to represent Google, Trezor, Coinbase or other crypto platforms. Scammers often create urgency, pretend to solve security issues and push victims into giving away access before they have time to verify the situation.
For crypto holders, the safest approach is simple: never share wallet recovery phrases, never trust unexpected account warnings, and always verify support messages directly through official company websites.
