Son of U.S. Government Contractor Arrested in France Over Alleged Crypto Theft

What to Know

• French authorities arrested John “Lick” Daghita on the island of Saint Martin in a joint operation with the Federal Bureau of Investigation.
• Investigators allege Daghita siphoned more than $46 million in cryptocurrency from U.S. government seizure wallets.
• The case began after blockchain investigator ZachXBT linked a wallet containing 12,540 ETH to Daghita.

Arrest in Joint FBI–French Operation

Authorities in France have arrested John “Lick” Daghita, a man accused of stealing tens of millions of dollars in cryptocurrency from wallets associated with the U.S. government. The arrest took place Wednesday on the Caribbean island of Saint Martin during a coordinated operation involving the Federal Bureau of Investigation and French law enforcement.

According to officials, the suspect is believed to have diverted cryptocurrency assets from digital wallets used to store funds seized during criminal investigations. U.S. authorities are now expected to begin the process of seeking his extradition.

The arrest was confirmed by Kash Patel, director of the FBI, who posted images on social media showing Daghita in handcuffs. One of the images also showed a metal case containing stacks of U.S. $100 bills alongside several USB drives and what appeared to be hardware crypto wallets.

Patel stated that U.S. law enforcement would continue working with international partners to track down individuals accused of defrauding taxpayers and misusing government assets.

Investigation Into Missing Crypto Funds

The case stems from a months-long investigation led by the United States Marshals Service. Authorities began examining the situation after allegations surfaced that large amounts of cryptocurrency had been removed from wallets used to store seized digital assets.

Investigators believe Daghita may have had access to these wallets through connections to a private contractor responsible for helping the U.S. government manage confiscated crypto assets.

Officials claim the total amount stolen could exceed $46 million, making it one of the most significant alleged internal thefts involving government-controlled cryptocurrency.

The investigation initially became public in early 2025 when officials confirmed they were examining reports of missing funds tied to wallets under government oversight.

Blockchain Investigator Helped Trigger Probe

The case gained momentum after blockchain researcher ZachXBT reported suspicious activity tied to a large Ethereum wallet.

According to his analysis, the wallet held approximately 12,540 ETH, which was worth more than $36 million at the time. The investigator suggested the wallet could be linked to Daghita and alerted authorities to the findings.

Blockchain investigations have increasingly become a powerful tool for law enforcement. Because most public blockchains allow transactions to be tracked, analysts can often identify suspicious patterns or trace funds across multiple wallets.

In this case, the blockchain evidence reportedly helped connect the alleged theft to wallets believed to contain funds originally seized during criminal investigations.

Links to Government Contractor

The suspect is the son of the president of CMDSS, a Virginia-based contractor that provides technology and operational services to U.S. government agencies.

CMDSS has previously been reported to assist agencies such as the United States Department of Justice and the United States Department of Defense. Among its responsibilities, the company has supported programs involving the management and liquidation of cryptocurrency seized during law-enforcement operations.

Authorities believe Daghita may have used knowledge of the systems used to manage these assets to access wallets and move funds without authorization.

The investigation is ongoing, and officials have not yet released details on exactly how the alleged transfers were carried out.

Online Activity Raised Early Red Flags

Before his arrest, Daghita had already drawn attention within certain online communities.

He reportedly appeared in a recorded dispute inside a Telegram group chat involving individuals claiming to control large amounts of cryptocurrency. The exchange was described as a “band-for-band” confrontation, where participants attempt to prove ownership of large digital holdings.

Such exchanges often occur in underground crypto circles where traders or hackers attempt to verify wallet balances or establish credibility.

Investigators later examined these interactions as part of the broader probe into the missing funds.

Extradition Expected as Investigation Continues

With Daghita now in custody in Saint Martin, U.S. authorities are expected to formally request extradition so the suspect can face charges in the United States.

Law enforcement agencies are continuing to analyze blockchain data and financial records as they work to determine the full scope of the alleged theft.

The case highlights the growing challenges governments face in managing seized cryptocurrency assets. As law-enforcement agencies increasingly confiscate digital assets from criminal cases, ensuring secure custody and oversight of those funds has become a critical issue.

For investigators, however, the transparent nature of blockchain technology also means stolen crypto can often leave a traceable trail — one that may ultimately lead to arrests like this.

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