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Here’s a good one! 
Basically, a “hacker” is claiming to have breached your computer, your information and claims to have incriminating information about you – of course, said “hacker” will keep this all quiet if you pay thousands of dollars. 

Actually, there is no “hacker”.   This is just a template email, commonly used fpr quite some time.  
What about the personal information in the email?   Well, there have been so many security breaches that your information is likely very much out there.  This information is for sale all over the dark web – they’ve trawled, or bought information and are trying to use it as leverage. 
If a password that you commonly use is included in the “ransom note”, be sure to change your passwords immediately. 

The New York Times does a nice little write up of this scam. 

 

Jamey Tofegaard <[email protected]> Mon, Jul 30, 2018 at 1:37 PM
[redacted]

It is just so unfortunate. I know [redacted] is your password. More importantly, I know your secret and I have proof of your secret. You don’t know me personally and no one paid me to investigate you. 

It’s just your bad luck that I stumbled across your blunder. The truth is, I setup a malware on the adult vids (porno) and you visited this web site to have fun (you know what I mean). When you were busy watching videos, your internet browser began working as a Rdp (Remote desktop) having a keylogger which provided me with access to your screen and also web camera. After that, my software program obtained all of your contacts from social networks, as well as email. 

I then gave in much more hours than I should’ve digging into your life and generated a double screen video. 1st part displays the recording you had been viewing and second part displays the capture from your webcam (its you doing inappropriate things). 

Frankly, I want to forget all about you and let you get on with your daily life. And I will provide you two options which will achieve that. The above choices either to ignore this letter, or just pay me $2900. Let’s investigate these 2 options in more detail. 

Option One is to ignore this e mail. Let’s see what will happen if you take this option. I will definately send out your video recording to all your contacts including close relatives, coworkers, etc. It will not help you avoid the humiliation your household will face when family and friends find out your dirty details from me. 

Option 2 is to make the payment of $2900. We will call this my “confidentiality tip”. Now let me tell you what happens if you opt this choice. Your secret remains your secret. I’ll destroy the video immediately. You go on with your daily life like nothing ever occurred. 

At this point you may be thinking, “I’m going to report to the cops”. Without a doubt, I have covered my steps to ensure this email message can’t be tracked returning to me and it won’t prevent the evidence from destroying your daily life. I’m not trying to break your bank. I am just looking to be compensated for the time I put into investigating you. Let’s assume you have chosen to create all this go away and pay me the confidentiality fee. You will make the payment via Bitcoins (if you don’t know how, search “how to buy bitcoins” in google search) 

Transfer Amount: $2900 
Receiving Bitcoin Address: [redacted]J (Edit * from it then copy and paste it) 

Tell nobody what will you use the bitcoin for or they might not provide it to you. The process to acquire bitcoins may take a few days so do not wait.
I’ve a special pixel within this email, and right now I know that you’ve read this email message. You have two days in order to make the payment. If I do not get the BitCoin, I will send out your video to your contacts including family members, colleagues, and so forth. You better come up with an excuse for friends and family before they find out. Nevertheless, if I receive the payment, I will destroy the proof and all other proofs immediately. It is a non negotiable one time offer, thus please don’t ruin my personal time & yours. Time is running out. Well, my malware will still be recording the actions you’re taking when you are done reading this email. Let me assure you that Should you anything suspicious then I’ll send your videotape to your members of your family, co-workers even before time ends.