Israeli-Russian Dual Citizen Extradited to US for Crypto Fraud
Alexander Block, an Israeli-Russian citizen, was extradited to the United States to face charges of fraud and money laundering related to cryptocurrency. He is accused of exploiting a vulnerability in the "Nomad" system to steal approximately $2.8 million in digital tokens in August 2022. Israeli courts ruled him eligible for extradition, setting legal precedents regarding computer intrusion and money laundering in blockchain. Block denies the charges and will defend himself in the US.
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- Alexander Block was extradited to the US for alleged cryptocurrency fraud totaling $2.8 million.
- Block is accused of exploiting a "Nomad" system vulnerability to steal digital tokens in August 2022.
- Israeli courts established precedents on computer intrusion and money laundering in blockchain during extradition proceedings.
- Block was arrested in May 2025 at Ben Gurion Airport while trying to leave the country.
- Block denies the charges and will continue his defense in the United States.
Alexander Block, an Israeli-Russian dual citizen, has been extradited to the United States to face charges of fraud, computer crimes, dealing in stolen property, and money laundering. The extradition was facilitated by cooperation between the Israeli Police's Operational Coordination Department and Interpol, following the exhaustion of all legal proceedings in Israel. Block was arrested at Ben Gurion Airport in May 2025 while attempting to travel to Russia.
According to the US extradition request, in late July 2022, Block allegedly exploited a vulnerability in the "Nomad" system, a cryptocurrency exchange platform. He is accused of altering the system's code to mint digital tokens without depositing any actual funds. On August 1, 2022, he allegedly withdrew tokens valued at approximately $2.8 million from a Nomad wallet. Subsequently, he converted these tokens into various cryptocurrencies and moved them between digital wallets to obscure their origin.
During the legal proceedings in Israel, the District Court declared Block eligible for extradition. His appeal to the Supreme Court was denied, establishing significant legal precedents. The court ruled that the term "computer material intrusion" should be broadly interpreted to include exploiting security flaws and programming errors. It also determined that the public nature of blockchain networks does not preclude money laundering charges, as wallet identities remain anonymous, making fund tracing difficult.
Block's subsequent petition for further discussion before the President of the Supreme Court was also rejected. The extradition case in Israel was handled by attorney Avi Kronenberg from the State Prosecutor's Office International Department. Block's defense attorney, Sharon Nahari, stated that while the court recognized the legal questions raised, the decision was not the end of the road. Block denies the charges, and his defense will continue in the US, where they will fight for his innocence and rights.
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