An IRS agent pretended to be a crypto trader called ‘Mr. Coins’ in a $180,000 dark-web drug sting

An IRS agent pretended to be a crypto trader called ‘Mr. Coins’ in a $180,000 dark-web drug sting

An undercover IRS agent posed as a crypto trader to trick a dark-web drug dealer into forking over $180,000 to the agency before arresting him, according to a . The IRS agent, who took on the username "Mr. Coins," built a reputation on crypto-for-dollars trading site LocalCryptos. In June, Mr. Coins put up a listing offering to buy at a premium in cash by mail, shortly attracting a bid from a user called "Lucifallen21." Lucifallen21 turned out to be an Indiana man named Chase Hite. In July, Hite was arrested, pending a trial. Hite and Mr. Coins developed a relationship, during which Hite bought thousands of dollars of bitcoin and in exchange for cash - boxing clothing-wrapped physical bills and mailing them to Mr. Coins. Later, Hite revealed that he was involved in trafficking "pills and opioids" as well as cocaine on the dark web, according to court filings reviewed by Forbes. IRS agents were able to confirm Hite's identity when they asked the Postal Service to purposely marked one of his cash shipments as lost. Hite fell into the trap, calling into the post office with a number that was then linked to his name. Forensic analysis was also