Teen Arrested in Scattered Spider Cybercrime Case Linked to Telecom and Crypto Hacks

A teenager allegedly tied to the Scattered Spider cybercrime gang has been arrested in connection with breaches at a U.S. financial institution and two telecommunications firms. The attacks relied on phishing techniques, including fake IT support calls and fraudulent messages claiming to update employee benefits or VPN profiles. These tactics compromised employee credentials, enabling unauthorized access to corporate systems.

Between October 2023 and May 2024, the suspect used access to telecom systems to send over 8.6 million phishing texts, including cryptocurrency scams targeting users of platforms like Gemini and KuCoin. The FBI uncovered substantial evidence of these activities on the suspect’s phone, including phishing page screenshots and cryptocurrency wallet details.

Scattered Spider is known for targeting businesses with weak security, often leveraging social engineering and multi-factor authentication fatigue to gain access. The group has also collaborated with Russian ransomware gangs, contributing to high-profile attacks on companies like MGM Resorts, Caesars, and Reddit.