Crypto Influencer Sentenced to 1 Year in Prison for $3.5M Cryptojacking Scam

Generated by AI AgentCoin World
Monday, Aug 18, 2025 3:41 pm ET1min read
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Aime RobotAime Summary

- Crypto influencer Charles Parks III was sentenced to 1 year and 1 day for a $3.5M cryptojacking scam exploiting cloud computing resources.

- He created fake LLCs and manipulated cloud providers to mine $1M in cryptocurrencies while falsely claiming to run a 10,000-student training business.

- Prosecutors revealed he laundered illicit funds through crypto exchanges and NFT platforms to purchase luxury assets like a Mercedes-Benz and first-class travel.

- Parks pleaded guilty in December 2024, agreeing to surrender $500K in restitution and his luxury vehicle after boasting about "seven-figure earnings" in YouTube videos.

- The case highlights regulatory scrutiny of crypto fraud and legal consequences for exploiting digital infrastructure through deceptive means.

A prominent crypto influencer, Charles Parks III—known online as “CP3O”—has been sentenced to one year and one day in federal prison for orchestrating a large-scale “cryptojacking” scam that defrauded cloud computing services of over $3.5 million in resources [1]. Parks, who cultivated an image as a crypto expert on social media and YouTube, used deceptive tactics to gain unauthorized access to cloud computing power, which he then exploited to mine cryptocurrency [2]. From January 2021 to August 2021, he illicitly mined approximately $1 million in digital assets, including

Ethereum
,
Litecoin
, and Monero [1].

Parks created multiple email addresses and domain names, including “MultiMillionaire LLC” and “CP3O LLC,” and falsely claimed to be building an online training company with 10,000 students [1]. In reality, these entities did not exist. He also manipulated cloud service providers into granting him elevated privileges and deflected inquiries about unusual usage and unpaid balances [2]. Prosecutors stated that Parks structured transactions through crypto exchanges, NFT marketplaces, online payment platforms, and traditional banks to launder the proceeds from his mining activities [1]. The illicit funds were used to purchase luxury assets such as a Mercedes-Benz, and to fund first-class travel and accommodations [2].

In a YouTube video, Parks boasted about achieving seven-figure earnings in a short period by developing a “crypto script” and claimed to not work for the rest of the year [1]. In December 2024, he pleaded guilty and agreed to surrender $500,000 in restitution and the luxury vehicle he had purchased [2]. The U.S. Attorney for the Eastern District of New York emphasized that Parks’ social media posts were based on theft and fraud, and that the sentence sends a clear message against cyber-enabled financial crimes [1].

The case underscores the growing regulatory focus on crypto-related fraud and the increasing complexity of schemes that exploit digital infrastructure for personal gain [1]. Parks’ conviction and sentencing reflect the legal consequences of using deception to access and misuse computing resources in the digital economy [2].

Source:

[1] https://www.mitrade.com/insights/news/live-news/article-3-1045950-20250817

[2] https://cryptorank.io/news/tag/scams