Indonesian hacker arrested for stealing $398,000 from crypto platform

According to law enforcement, the suspect, identified in case files by the initials HS, found a vulnerability in the deposit system. The platform was not properly validating data on the backend, which let him manipulate input fields and “draw” USDT balances on accounts in amounts that were never actually deposited. To cover his tracks, the hacker allegedly used stolen or purchased personal data and opened at least four fake accounts linked to Indonesian ID numbers.

The arrest took place in the city of Bandung on November 15. During the search, police seized a laptop, a mobile phone, bank cards, a desktop unit and a hardware wallet that, according to local media, held 266,801 USDT. Investigators are now trying to determine whether these funds are directly connected to the Markets.com attack or point to other criminal activity.

The financial company reported the suspicious activity to Indonesian authorities and is cooperating with law enforcement in the United Kingdom, where it is registered. At the same time, investigators are tracing the flow of crypto assets: checking transfers to foreign exchanges, possible cash-outs and the use of mixers. Police do not rule out that HS may have had accomplices who helped launder the money and move it out of the country.

The incident comes amid tighter scrutiny of crypto market abuses in the UK and the United States. Regulators are rolling out new requirements for exchanges and brokers, from stricter KYC checks to mandatory risk warnings and limits on aggressive marketing.

Against this backdrop, the Markets.com case shows once again that even a seemingly minor weakness in a deposit module can result in hundreds of thousands of dollars in losses and trigger an international investigation.