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John Daghita arrested in Saint Martin for alleged $46M crypto theft

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John Daghita arrested in Saint Martin for alleged $46M crypto theft

A U.S. government contractor accused of stealing more than $46 million in crypto from the U.S. Marshals Service has been arrested in Saint Martin following a joint international law enforcement operation, according to the FBI.

Summary

  • John Daghita was arrested in Saint Martin for allegedly stealing more than $46 million in cryptocurrency from the United States Marshals Service.
  • The arrest followed a joint operation between the Federal Bureau of Investigation and France’s French Gendarmerie Nationale, including the elite Groupe d’intervention de la Gendarmerie nationale.
  • Kash Patel said the case highlights continued international cooperation to track down suspects accused of defrauding U.S. government agencies.

John Daghita captured in a joint FBI operation 

In a statement shared on social media, FBI Director Kash Patel confirmed that suspect John Daghita was apprehended overnight by the Federal Bureau of Investigation working alongside France’s elite law enforcement units.

The arrest took place on the Caribbean island of Saint Martin.

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According to Patel, the operation was carried out by the French Gendarmerie Nationale, including its elite tactical force, the Groupe d’intervention de la Gendarmerie nationale, in coordination with the FBI.

Authorities allege that Daghita stole more than $46 million in cryptocurrency from the United States Marshals Service, a federal agency responsible for managing and securing seized assets, including digital currencies confiscated in criminal investigations. The agency has historically overseen large crypto holdings obtained through high-profile cases, with funds typically stored in government-controlled wallets until they are auctioned or otherwise disposed of.

Patel praised the international coordination involved in the arrest, highlighting assistance from the French Gendarmerie’s International Cooperation Team Serious Crime Unit in Saint Martin as well as tactical support from the Gendarmerie unit based in Guadeloupe.

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“FBI will continue working 24/7 with our international partners to track down, apprehend, and bring to justice those who attempt to defraud American taxpayers—no matter where they try to hide,” Patel said.

Details about how the alleged theft occurred or when the funds were taken have not yet been publicly disclosed. Authorities have also not indicated whether the stolen crypto has been recovered.

Daghita is expected to face further legal proceedings as authorities coordinate next steps following his detention in Saint Martin.

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Crypto World

Morgan Stanley Sets Bitcoin ETF Fee at Ultra-Low 0.14%

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Morgan Stanley Sets Bitcoin ETF Fee at Ultra-Low 0.14%

Investment bank Morgan Stanley is seeking to launch its spot Bitcoin exchange-traded fund at a 0.14% fee, which would make it the cheapest in the US market and potentially force rivals to cut fees to stay competitive.

The 0.14% fee, proposed in Morgan Stanley’s latest S-1 registration statement on Friday, would be one basis point below the Grayscale Bitcoin Mini Trust ETF (BTC), currently the cheapest in the US market, and 11 basis points below the BlackRock-issued iShares Bitcoin Trust ETF (IBIT).

“Big move here. They are not messing around,” Bloomberg ETF analyst James Seyffart said, predicting that the Morgan Stanley Bitcoin Trust (MSBT) is “likely to launch in early April.”

Source: James Seyffart

Fellow Bloomberg ETF analyst Eric Balchunas said the low fee means that none of Morgan Stanley’s roughly 16,000 financial advisors — which manage $6.2 trillion in client assets — would feel conflicted in recommending the product to its clients.

Given that spot Bitcoin ETFs track the price movements of Bitcoin (BTC), Morgan Stanley’s ultra-low fee could spark a fresh fee war in the $83 billion market, putting immediate pressure on rivals to cut costs or risk losing assets.

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Regulatory approval would make Morgan Stanley the first bank to issue a spot Bitcoin ETF, expanding access to Bitcoin exposure for millions of its high-net-worth clients.

“They are the ultimate gatekeepers of rich boomer money,” Balchunas added.

Morgan Stanley previously selected Coinbase and Bank of New York Mellon as the proposed custodians for its Bitcoin ETF.

Morgan Stanley seeking suite of crypto ETFs, banking charter

Morgan Stanley, previously one of the more crypto-hesitant Wall Street firms, filed for the spot Bitcoin ETF in the first week of January, along with a Solana (SOL) ETF.

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Related: Bitcoin traders see 53% odds of sub-$66K BTC by April 24 

It then filed papers for a staked Ether (ETH) ETF later that week, and by the end of the month, the bank appointed one of Morgan Stanley’s longest-standing executives, Amy Oldenburg, to lead its digital asset team.

Source: James Seyffart

Morgan Stanley also applied for a national trust banking charter on Feb. 18, seeking to custody certain digital assets and execute purchases, sales and swaps for clients in addition to staking services.

In October, before the investment bank adopted its institutional crypto strategy, it recommended a 2% to 4% allocation to crypto portfolios for investors. It also allowed its financial advisors to recommend crypto funds to clients with individual retirement accounts (IRAs) and 401(k)s.

Magazine: Bitcoin may face hard fork over any attempt to freeze Satoshi’s coins

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