A 22-year-old California man has been sentenced to 70 months in federal prison for laundering $3.5 million in stolen cryptocurrency. It’s the ninth guilty plea in a sprawling $263 million digital asset theft investigation. Evan Tangeman pleaded guilty to a RICO conspiracy charge in December 2025. He’ll forfeit high-end assets including a Rolls Royce Ghost and Porsche GT3 RS, according to the U.S. Attorney’s Office for the District of Columbia.
Tangeman laundered at least $3.5 million in stolen crypto proceeds between October 2023 and May 2025. The laundering operation was part of a larger criminal enterprise. The group used social-engineering tactics to steal a total of $263 million in digital assets from victims across multiple states.
Prosecutors described the scheme as “built on greed so brazen it borders on the cartoonish.” The defendants spent lavishly. Tangeman acquired expensive vehicles. Federal authorities have now seized them.
The investigation revealed attempts by Tangeman to destroy evidence. Prosecutors said it demonstrated “consciousness of guilt.” Obstruction is common in cryptocurrency crime cases. Perpetrators often believe blockchain’s pseudonymous nature will shield them from law enforcement. It doesn’t.
This sentencing represents a significant milestone. Nine guilty pleas secured so far. The case demonstrates the Justice Department’s increasing sophistication in prosecuting digital asset crimes. The U.S. Attorney’s Office for the District of Columbia has emerged as a central venue for major crypto crime prosecutions. The government’s focus on combating financial crimes involving digital assets is intensifying.
Social-engineering attacks manipulate individuals into revealing sensitive information or access credentials. They’ve become a preferred method for large-scale cryptocurrency thefts. Unlike technical exploits that target smart contract vulnerabilities, these schemes exploit human psychology. They gain unauthorized access to digital wallets and exchange accounts.
The 70-month sentence sends a clear message about the consequences of cryptocurrency money laundering. Even for relatively young defendants. Even for those who may view digital asset crimes as less serious than traditional financial offenses. Multiple defendants still potentially face justice in this $263 million investigation. Authorities continue to pursue what appears to be one of the larger coordinated cryptocurrency theft rings prosecuted to date.
