BLOOMFIELD TOWNSHIP, Mich. – Authorities warned residents of affluent communities to beware of a blackmail letter sent to homes demanding $2,000 worth of Bitcoin.
A resident of Bloomfield Township received a suspicious letter Nov. 20. The letter was postmarked in Nashville, Tennessee.
At least one other resident in Bloomfield Township received the same letter. Investigators learned that residents in numerous other affluent communities around the country have received the same letter.
The letter threatened to expose a secret to the homeowner’s wife unless a ransom of $2,000 worth of Bitcoin, or 0.20360BTC.
“I stumbled across your misadventures,” the letter reads. “I known about the secret you are keeping from your wife. More importantly, I have evidence of what you have been hiding.”
The account in which Bitcoin ransoms were to be sent was empty as off 2:30 p.m. Thursday and no transactions had ever been made with the wallet account. It is unclear if each letter had its own unique wallet address.
What is Bitcoin?
Bitcoin is a digital currency that is not tied to a bank or government and allows users to spend money anonymously. The coins are created by users who “mine” them by lending computing power to verifying other users’ transactions. They receive bitcoins in exchange.
The coins also can be bought and sold on exchanges with U.S. dollars and other currencies. Their value has fluctuated over time.
Because the currency isn’t formally regulated, its legality is a bit fuzzy. The currency has also drawn the ire of many in law enforcement and cybersecurity because it’s difficult to trace, making it a currency of choice for hackers behind ransomware attacks. But in September, New York state regulators approved their first license for a company dealing in bitcoin.
ALSO SEE: Michigan man facing charges for running unlicensed bitcoin exchange in Bloomfield Twp.
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