Freelance Terrorist Carried Out Hundreds of Bomb Threats in Exchange For Bitcoin 44 6372

An American-Israeli teen is sentenced to a decade in prison after a Tel Aviv court convicted him for a series of fake bomb threats he carried out in exchange for Bitcoin.

The 19 year old began making threats professionally at the age of 16. He is convicted only for crimes committed while over the age of 18. These include making false threats and reports, extortion, money laundering, and conspiracy to commit a crime.

While the Israeli courts withheld the defendant’s identity because some of his alleged crimes occurred while he was a minor, the Guardian identified him as Michael Kadar at the time of his arrest. He was originally indicted for over 2,000 bomb threats, carried out between 2015 and 2017.

Kadar Targeted Children and Jewish Community Centers

The targets of Kadar’s threats included Jewish community centers, the Israeli Embassy in Washington DC, elementary schools, shopping centers, hospitals, law enforcement agencies, airports and airlines.

A threat to an El-Al flight resulted in the deployment of fighter jets for an escorted emergency landing; another threat to a Canadian airport left six people injured during emergency disembarkment; a Virgin flight dumped eight tons of fuel before landing because of a threat; and another threat went to a plane carrying the Boston Celtics.

Kadar also targeted Republican Delaware state senator Ernesto Lopez, who he threatened with blackmail and the murder of his daughter. After Lopez ignored the demands, Kadar ordered drugs to have sent to Lopez’s residence.

Dealing Terror From Mom and Dad’s Apartment

His reign of terror operated from his parent’s fifth floor apartment near the beach in a posh neighborhood in Ashkelon, about 30 miles south of Tel Aviv. But his threats landed in over a dozen countries, including Ireland, New Zealand, Germany, Denmark, Great Britain, Belgium, Australia, Norway, Argentina, Israel, the United States, and Canada.

“One can easily imagine the terror, the fear and the horror that gripped the airplane passengers who were forced to make an emergency landing, some of whom were injured while evacuating the plane,” read the verdict by judge Zvi Gurfinkel, “and the terrified panic caused when there was a need to evacuate pupils from schools because of fake bomb threats.”

The Judge also divulged Kadar’s fees for his services: $40 for a threatening phone call to a private residence, $80 for a bomb threat to a school, and $500 for an airplane scare. Kadar operated on the dark net and disguised his IP address, using a powerful self-installed antenna to tap into remote networks, and software to mask his voice. According to an indictment filed against him in Florida, he spent some of his calls going into graphic detail threatening the deaths of children in American Jewish centers.

A Small Fortune in Bitcoins

At the time of his arrest, Kadar had amassed around 184 Bitcoins for such services—about half a million dollars at the time, and closer to $680,000 today. He also dealt in bomb making manuals, drugs, and child pornography.

Kadar is the son of an American mother, and his father is an Israeli engineer, and has dual citizenship. The US Department of Justice has also indicted Kadar for 32 crimes, including hate crimes, cyberstalking, giving false information to the police, and making threatening phone calls to around 200 institutions. A separate indictment also accuses Kadar of threatening the children of a former CIA and Pentagon official with kidnapping and murder, and links him to over 245 threatening calls.

When Kadar was arrested, he tried to escape by grabbing a pistol from a police officer, but was wrestled to the ground. Thursday’s conviction follows a cooperative investigation by the FBI and Israeli authorities, who have not been able to recover Kadar’s Bitcoins.

Teen’s Mother Calls Conviction ‘Cruel’

Kadar’s mother spoke outside the courtroom after her son’s sentencing, saying “This is the most cruel, cruel thing in the world. I’m very sorry, but I am ashamed that the country acts this way.” She insisted that her son needed treatment, not prison.

In an earlier interview she told Israeli TV her sun was suffering from a brain tumor, which made school difficult for him. Because of this and his autism, Kadar was homeschooled.

Defense lawyer Shira Nir said these conditions made Kadar unfit to stand trial, as he could not distinguish right from wrong. A medical panel confirmed the defendant’s autistic condition, but concluded he was capable of understanding the consequences of his actions. Judge Gurfinkel said Kadar’s conditions were taken into account, lessening the sentence from 17 years in prison to 10.

Previous ArticleNext Article
I grew up in the Silicon valley under the technological mentorship of Steve Wozniak. I'm a proud member of the Choctaw Nation, I've lived, worked and traveled all over the world, and I now write in the Pacific Northwest.

44 Comments

  1. The Internet market keeps changing unpredictable moment.
    Today membership websites are the most popular sites for generating source of income.
    There are several people looking into paying well when you’re looking
    at viewing quality content put across from a professional location.
    You can make good business if you follow the ideal
    marketing ways of spread web-site across the masses.
    Being visible could be the first critical thing. If people
    are unaware of your website, you won’t do good business even though
    that you’ve quality message.

    You simply have to look at all the news papers every day and it’s clear figure out how important images might be.

    They have the ability to sum it up an entire article that can also stimulate emotion or provoke a response.
    Also, it’s a proven incontrovertible fact that people are drawn to images first, and then their eyes will gravitate to the caption using the image.
    Guess what that caption could be? Yep, an affiliate link
    or advert perhaps?

    It’s poor quality having great articles unless search engines can also figure out
    that you are a market leader on what you are selling.
    So a content writer understands SEO is important.
    He can make sure your article recently enough keywords in it to rank for its subject but
    are still not so many it puts up with an over-optimisation penalty.

    What’s that?

    Keep it short and straightforward. Don’t write a 1000 page magazine.
    A good length for almost all articles is 400-600 express.that’s about 1 page.

    Each paragraph end up being a set of two lines.
    Provide lots of “white space”.it makes it
    easier on your eyes and consumers are psychologically more likely to read
    it because it looks “easier” and short.

    You want people to obtain to your site. Attention span for people is really short, an individual
    have in order to create a good impression really fast.
    Should have content that people find interesting they’ll not only come for website nevertheless might bring other along with
    them too. So start however good content first
    and add your search engine optimization afterwards.

    SEO is not something you are going to for 8 hours single time and then never ought to bother about again. It’s really
    a continual process, with new content trying to be place into your site everyday,
    links exchanged, and articles listed in databases.

    Look, methods three small examples of what’s realistic.
    There are affiliates making seven-figures online.
    The stage that this article is to get hope that regardless of where you’re at you
    can also make money online as a joint venture partner. http://ace333.gdn/index.php/download/23-ntc33

  2. I like the valuable information you provide in your articles.
    I will bookmark your weblog and check again here frequently.

    I’m quite certain I’ll learn a lot of new stuff right here!
    Best of luck for the next!

  3. Do you want to mine cryptocurrency, but do not know where to start? Try CryptoTab – the world’s first browser with built-in mining. Not only is it fast and easy to use – it will make web surfing profitable! http://bit.ly/2I8jqBc

  4. Woah! I’m really loving the template/theme of this blog. It’s simple, yet effective.

    A lot of times it’s challenging to get that “perfect balance” between user friendliness and visual appeal.
    I must say you’ve done a awesome job with this. Also, the blog loads extremely fast for me on Safari.
    Excellent Blog!

  5. My partner and I stumbled over here from a different page and thought I might as well check things
    out. I like what I see so now i am following you. Look forward to going over your web page yet
    again.

  6. Hey There. I found your blog using msn. This is a really well written article.

    I will make sure to bookmark it and come back
    to read more of your useful information. Thanks for the post.
    I’ll certainly comeback.

  7. Yesterday, while I was at work, my sister stole my iphone
    and tested to see if it can survive a twenty five foot drop, just so she can be a youtube sensation. My iPad is now destroyed and she has 83
    views. I know this is entirely off topic but I had to share it with someone!

  8. I know this if off topic but I’m looking into starting
    my own weblog and was curious what all is needed to get set up?
    I’m assuming having a blog like yours would cost a pretty
    penny? I’m not very web savvy so I’m not 100% positive. Any recommendations or advice would be greatly appreciated.
    Kudos

  9. I’ve been exploring for a little bit for any high-quality articles or blog posts on this kind of area
    . Exploring in Yahoo I at last stumbled upon this
    website. Studying this info So i am satisfied to show that I have a very just right uncanny feeling
    I discovered just what I needed. I such a lot for sure will
    make sure to do not put out of your mind this site and give it a glance on a relentless basis.

  10. First off I want to say great blog! I had a quick question which I’d like to ask if you don’t mind.
    I was curious to find out how you center yourself and clear your
    thoughts prior to writing. I’ve had a tough time clearing my
    thoughts in getting my thoughts out there. I truly do take
    pleasure in writing however it just seems like the first
    10 to 15 minutes are generally wasted just trying to
    figure out how to begin. Any suggestions or tips? Thanks!

  11. Excellent post. Keep writing such kind of information on your site.
    Im really impressed by your site.
    Hey there, You’ve performed an excellent job.

    I will certainly digg it and for my part recommend to my friends.
    I am confident they will be benefited from this website.

  12. I will right away snatch your rss as I can not find your email
    subscription hyperlink or e-newsletter service. Do you’ve any?
    Kindly let me realize in order that I may just subscribe.
    Thanks.

  13. When someone writes an article he/she maintains the thought of
    a user in his/her mind that how a user can understand it. So that’s why this post is
    outstdanding. Thanks!

  14. You actually make it seem really easy together with your presentation but I to find this matter to be
    really one thing which I believe I’d never understand.

    It seems too complex and extremely broad for me. I’m looking forward
    in your subsequent publish, I’ll try to get the grasp of it!

  15. I take pleasure in, lead to I found just what I was having a look for.

    You have ended my 4 day long hunt! God Bless you man. Have a great day.
    Bye

Leave a Reply

Your email address will not be published. Required fields are marked *

DApp Frameworks Will Improve the Blockchain — Here’s How 381 5365

Scalability has always been a problem for blockchains, and it’s the main reason blockchain technology hasn’t reached mainstream adoption. Whether in blockchain fintech—where comparisons of the Bitcoin blockchain’s 10 TPS to Visa’s 24,000 TPS abound—or in other sectors blockchain has touched, this is holding many otherwise promising companies back from delivering new, innovative kinds of value to the public. While larger and better-resourced companies have managed to overcome this problem through sidechaining and/or sharding, there is no substitute for the real thing. DApp scaling frameworks may be a foundation to build widespread solutions to this problem.

What are DApps?

DApps (decentralized apps) use blockchain technology to deliver peer-to-peer value through product offerings, services, or new forms of value. Built on blockchain technology, dApps use its decentralized, trustless, peer-to-peer structure to let users transact between each other without a centralized authority through an encrypted medium (such as NASGO’s platform that we’ve reported on previously).

While this is an otherwise revolutionary solution to the problem of over-centralization, it comes with its own set of baggage. Imagine if every transaction or purchase you made had to be confirmed by a network of other people before completing. This, the consensus protocol—on which Bitcoin, Ethereum, and other leading blockchains are built—is one of blockchain’s greatest strengths, but also one of its greatest weaknesses. For any  blockchain to work as intended, every node participating in it has to confirm every transaction that happens on it.

On the positive side, this massively increases transaction immutability, verifiability and transparency. Unfortunately, it also makes transaction per second (TPS) speed very low. Slow processes usually don’t scale. And without scalability, blockchain technology cannot reach mainstream usage. Right now, only about 8 million people globally use any form of cryptocurrency. To reach mainstream usage, 800 million people must consistently use it.

It sounds like a chicken-and-egg problem, but the blockchain space is already developing resources to overcome this issue. DApp scaling frameworks are one way. They are bundles of code inside blockchain protocols that let distributed apps distribute themselves in a semi-scaled way, letting a blockchain scale improve its TPS and allow more transactions than ever before. Unfortunately, not many developers have access to these, and the few that do have only built the earliest versions of this technology, which brings up the question: is this really a workable solution right now?

What We Have Now

DApps are hard interact with. They’re slow, confusing, and rely on 3rd-party software which only the most sophisticated consumers can readily use. Yet the chief issue here is speed—the key performance measurement of all distributed systems is scalability, and without it, dApps have no real business case or value proposition, let alone any realistic user acquisition strategy. Yet there are fixes for this problem, but little implementation and even less progress on their collective maturation. They exist in five categories, below:

1. Low-Level Optimizations

2. Parallel Blockchains (“sharding”)

3. Homogenous Vertical Scaling

4. Heterogeneous Vertical Scaling

5. Heterogeneous Interconnected Multichains

6. Multilayered dApp development toolboxes

There’s not much to be said for the solutions in the first category. Most of them—consensus algorithms, PoS migrations, parallel processing on transactions and code optimizations in the Ethereum Virtual Machine—are low-level and impermanent band-aids to the deeper problem.

The best of the solutions in the second, third, and fourth categories are at this stage still in the proof-of-concept phase, being built almost exclusively by and for Ethereum and Bitcoin, such as projects like Plasma and the Lightning Network. These are getting the most traction here only because they’re developing out of Bitcoin and Ethereum, but are nontheless still are very early-stage.

The idea behind Plasma is to take smart contracts, give them self-governing alongside self-execution properties to let the Ethereum root chain essentially create buds or “shards”—tiny sidechains each monitoring one aspect of a transaction instead of putting that combined pressure on the root chain—to distribute consensus, letting blockchains dramatically scale their TPS. Lightning Network deals more exclusively with payments—it’s a second-layer payment protocol next to the root blockchain, using a peer-to-peer system to let users make cryptocurrency micro-payments. Both platforms are examples of how some blockchain companies are using secondary and tertiary parallel blockchains to scale their TPS.

Concepts like Polkadot—scalable heterogeneous multichains—provide foundations for later functionality in the area of relay-chains, where the goal is to build validatable, globally connected, frequently-changing data structures on top of these frameworks.

Companies like MenloOne—multilayered dApp development toolboxes—create and deploy digital tools for dApp developers to use when they’re building. They include:

  • A layer for communication.
  • A layer for governance (given lack of server admins to ban malicious users in a decentralized network).
  • A local wallet for smooth transactions (no more MetaMask popups).
  • A core layer, a network of content nodes which cache mirror versions of blockchain data.

These incorporate fragmented systems to make dApp development easier for professionals.

Together, solutions in these categories are working to help top blockchains scale TPS to thousands per second.To become adopted by the mainstream public, these frameworks will need to use a variety of different tools to make transactions effortless for blockchains to process.


What do you think about the scalability of blockchains today? Is it a problem for you or are you unaffected? And, what do you most want to see happen in this area of blockchain technology in the near future? Post in the comments below to let us know!

Chinese Crypto Leader Li Xiaolai Suddenly Retires 8 1429

One of China’s most prominent Bitcoin investors has announced his retirement from the crypto world. Billionaire Li Xiaolai is the founder of BitFund, a crypto venture capital firm that has fostered a slew of Bitcoin-related startups.

Li’s announcement of his decision to withdraw from cryptospace—and investing otherwise—came unexpectedly via his page on Chinese social media site Weibo.

“From this day on,” his post reads, according to TechNode’s translation, “I, Li Xiaolai, will personally not invest in any projects (whether it is blockchain or early stage). So, if you see ‘Li Xiaolai’ associated with any project (I have been associated with countless projects without my knowledge, 99% is not an exaggeration), just ignore it.”

Li is a former school teacher, and claims to be the first person in China to openly trade Bitcoins, rather than hiding behind its famous anonymity. Now, retired from both teaching and investing, he says he’s not sure where to go next. “I plan to spend several years to contemplate on my career change. As for what I’m doing next, I’m not sure just yet.”

Li closed his post by expressing that he still maintains a long term optimism about the blockchain.

Li’s Ventures Grew Crypto Capital, Controversey

Through BitFund, Li has incubated a number of blockchain related startups, including an off-chain wallet called Bitfoo, the crypto exchange YUNBI, and HashRatio, a miner manufacturing company. Li organized 2014’s Global Bitcoin Summit in Beijing, back when you could get a BTC for as little as $440, and years before China instated its full ban on cryptocurrencies.

Earlier this year, Li also acted as managing partner of Hangzhou Xiong’An Blockchain Fund, a billion dollar fund backed by the Hangzhou government. Li stepped down after fellow venture capitalist Chen Weizing introduced a series of accusations against him.

Included in the eleven accusations, which Chen broke on social media and messaging platform WeChat, were a supposed debt of 30,000 BTC that Chen says Li failed to pay on time. Li published a point-by-point response to Chen’s accusations, addressing the 30,000 BTC debt by saying “it’s not true… Chen is just muddying the water.”

Though Li called them “defamations,” and Chen did not offer supporting evidence for his allegations, Li said Chen’s antics “brought material and negative impacts on the reputation of Xiong’An Blockchain Fund” and that his resignation would “let the Hangzhou government continue its push for blockchain development.”

Li was the subject of controversy on another occasion when, in a candid conversation he did not know was being recorded, he outed several influential organizations as scams and said that the best way to succeed in blockchain, even if your project is worthless, is to get famous and build consensus.

The State of Crypto in the People’s Republic

All crypto and blockchain related websites are blocked by the Chinese government, and citizens are forbidden from engaging in crypto transactions. The People’s Bank of China released a statement on August 24th warning against ICOs, which they consider to be “illegal fundraising, pyramid schemes, and fraud.”

But the rules have been difficult to enforce, and crypto still enjoys an active user base in China. Beijing Sci-Tech Report, China’s oldest technology publication, is now the first Chinese publication to accept BTC as payment from its subscribers. Chinese crypto channel cnLedger announced in a tweet on September 25th that Ethereum Hotel, China’s first hotel to accept ETH as payment, is open for business in Sichuan Province.

A Crypto Landscape Without a Leader

The sudden exit of Li Xiaolai from the Chinese crypto scene could have caveats, or greater implications. Weibo users expressed their support and gratitude following his announcement, but some also speculated that his choice of words leaves room for Li to continue investing in crypto indirectly, perhaps through funds or corporate entities. Whether that will be the case or not, for many, his resignation marks the loss of a public blockchain leader.

Most Popular Topics

Editor Picks