Crypto gang's “muscle” helped steal $250M, then splashed out on designer clothes, Hermès Birkins, and $500K club nights

Twenty-year-old Californian Marlon Ferro acted as a crypto gang’s muscle, breaking into houses to steal hardware. Despite operating in the shadows for over three years, Ferro, also known as “GothFerrari,” will serve 6.5 years in prison.

A 20-year-old, known as GothFerrari, acted as muscle for a crypto gang stealing over $250 million.
The gang combined social engineering, hacking, and old-fashioned home burglaries to seize victims’ hardware wallets and digital assets.
Stolen crypto funded extravagant spending on luxury handbags, private jets, security teams, and $500,000 nightclub evenings in elite locations.
After the gang leader’s arrest, GothFerrari continued laundering funds, buying Hermès Birkins and paying the leader’s legal expenses.

Key Takeaways by nexos.ai, reviewed by Cybernews staff.

While “crypto heist” typically evokes images of hooded hackers in dark rooms, it turns out that stealing large amounts of wealth still involves tried-and-tested techniques like throwing a brick through a door.

According to the Department of Justice (DoJ), Ferro was the man the crypto gang turned to when all else failed.

“When his co-conspirators couldn’t deceive victims into handing over access to their cryptocurrency or hack their way into digital accounts, they turned to Ferro to break into homes and steal hardware wallets outright,” US Attorney Ferri Pirro said.

Last October, Ferro pleaded guilty to one count of conspiracy to participate in a racketeering-influenced and corrupt organization, landing him a 78-month prison sentence and $2.5M in restitution.

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The lengthy prison sentence appears to be tied to the humongous scale of the operation. According to court documents, the social engineering enterprise defrauded victims of more than $250 million in crypto between late 2023 and early 2025.

Gang members, located throughout multiple locations in the US and other countries, had specialized roles such as database hacking, target identification, fraudulent phone calls, money laundering, and residential burglary.

Apparently, some of the gang members did not attempt to hide their newfound wealth, splurging vast sums on everything from nightclub services at up to $500,000 per evening to private jets and teams of private guards.

According to the DoJ, gang members and associates would buy luxury handbags worth tens of thousands of dollars, which they would later give away at nightclubs and parties. Associates would splurge a year's salary on clothing, rent homes in expensive parts of Los Angeles, the Hamptons, and Miami.

ferro crypto muscle1 — Surveillance photo of Ferro after he used a brick to break into a victim’s home. Image by DOJ.

What did GothFerrari do?

To fund private jets and fleets of exotic cars, the gang targeted individuals they believed had large crypto holdings. Once locked in on a target, the gangs would manipulate victims into giving away access to their digital holdings.

If that didn’t work out, Ferro would be called in.

DoJ claims his career started in February 2024 after Ferro went to Texas, broke into a victim’s house, and stole a hardware wallet containing 100 bitcoin, worth over $5 million at the time. Far from being only a “muscle man,” Ferro was capable of laundering stolen funds through various exchanges.

He connected with the crypto gang in 2024, after relocating to California, offering burglary services to the group.

ferro crypto muscle2 — One of the Hermès Birkin bags Ferro obtained for a co-conspirator's girlfriend. Image by DOJ.

During hits, the gang closely collaborated, the DoJ revealed. For example, in July 2024, Ferro planned to break into a victim's house in New Mexico. Prior to that, he placed “a cell phone outside the home to monitor the victim’s movements.”

Meanwhile, his co-conspirators would track the victim's location through an iCloud account. Once sure the victim was far from their residence, Ferro would go analog – smashing a window with a brick, then proceed to go inside and look for hardware containing crypto.

Moreover, authorities believe Ferro was instrumental in laundering stolen funds, serving as a key player. The 20-year-old would use fraudulent IDs to set up digital payment accounts, which co-conspirators later used to spend stolen funds on nightclubs and designer clothes.

ferro crypto muscle3 — Law enforcement recovered this 9mm black rifle from Ferro. Image by DOJ.

ferro crypto muscle4 — The Glock 19 9mm pistol that law enforcement recovered from Ferro. Image by DOJ.

After the gang’s leader was arrested in late 2024, Ferro was his man on the outside, continuing to launder money to pay for the conspiracy leader’s attorneys. Ferro also purchased Hermès Birkin bags for the gang leader’s girlfriend. Birkin bags are among the most expensive handbags in the world.