An FBI agent has been accused of stealing more than $900,000 worth of cryptocurrency from accounts monitored by the bureau after becoming frustrated with what he viewed as the government’s inaction over the misuse of crypto accounts, according to court documents made public on Monday (August 3).

According to CNN, the 37-year-old agent, Patrick Steven Yaroch, discovered the cryptocurrency holdings while serving on an FBI national security investigations team focused on a “hostile nation.” Prosecutors say he became frustrated that he was unable to do more to stop an unidentified individual from using the crypto accounts and allegedly exploited his internal FBI access to transfer the digital assets into his own personal account.

An FBI agent stole more than $900,000 in cryptocurrency from accounts the agency was monitoring after he said he became frustrated by what he saw as government inaction over the misuse of crypto accounts, according to court records made public on Monday. https://t.co/Cz8hmxKX4q— CNN (@CNN) August 3, 2026

The FBI collects extensive intelligence on cryptocurrency accounts believed to be used by criminals and state actors in Russia, China, and other countries. However, decisions on whether to seize such accounts or continue monitoring them for intelligence purposes are often made on a case-by-case basis.

“I screwed up”

The agent was arrested last week and has since been dismissed by the FBI. He faces charges of interstate transportation of stolen property and receipt of stolen property.

The affidavit includes details gathered from interviews with Yaroch and a former colleague from the FBI’s Boston Field Office, to whom the 37-year-old had reportedly confessed.

“I screwed up,” Yaroch admitted when FBI agents questioned him at his home last month.

“When the FBI became aware of these allegations, we immediately took action by opening an investigation, which ultimately resulted in the subject’s arrest last week,” an FBI spokesperson said.

“We hold our employees to the highest ethical standards, and this type of conduct will not be tolerated. We are conducting a thorough investigation, and because this remains an active case, we have no further comment.”

He asked ChatGPT what to do with the money if he left the U.S.

One month before his arrest, Yaroch allegedly asked ChatGPT:

“If you had a bucket of money (about $1 million) and wanted to leave the U.S. and become a resident or citizen of an EU country, what would you do?”

According to the court filing, ChatGPT generated a response tailored to the agent’s age and circumstances, stating:

“At 37, with a young family, aiming to retire around 40, and with a clear interest in eventually creating a more relaxed lifestyle in a vineyard or rural area, in places such as Cilento or Portugal’s Dão region…”