Hacker With $100 Million In Shiba Inu On The Move Again

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As a seasoned crypto investor with a decade of experience under my belt, I can’t help but feel a mix of emotions as I witness the ongoing saga of the WazirX hacker. The audacity of these cybercriminals to launder such massive amounts of Ethereum is truly astounding. It seems like they’re playing a high-stakes game of chess, while the rest of us are stuck watching from the sidelines.

In a disturbing turn of events, the attacker behind the WazirX cryptocurrency breach, who made off with $100 million in Shiba Inu, continues to launder stolen Ethereum (ETH). According to Spot On Chain, a leading on-chain intelligence and analytics platform, the WazirX attacker recently initiated the transfer of 10,000 ETH, valued at approximately $23.3 million at the time of the transaction, as part of efforts to launder the stolen funds. This comes amidst Ethereum’s struggle to climb towards $2,400. 

Explaining The Shiba Inu Hacker’s Activity

In July, one of India’s major cryptocurrency platforms, WazirX, experienced a security breach that resulted in approximately $230 million in digital assets being stolen. Among these stolen assets were more than $100 million worth of Shiba Inu and around $52 million worth of ETH. As per Elliptic’s findings, the hack was allegedly perpetrated by cybercriminals with ties to North Korea.

As reported by Arkham Intelligence, a firm specializing in blockchain analysis, the hackers swiftly converted their pilfered funds. More specifically, they started selling off vast amounts of Shiba Inu tokens they had in stock right away. This sudden, large-scale sale sent shockwaves through the market, prompting a sharp drop in the price of Shiba Inu as traders scrambled to deal with the increased supply.

Ever since the initial theft, the hackers have persistently worked on washing and cashing out the swiped cryptocurrencies, with Ethereum being a key target. The most recent attempt at laundering involved shifting 5,000 ETH to Tornado Cash, a contentious privacy platform occasionally used by cybercriminals to cleanse stolen ETH. Additionally, Spot On Chain detected another $5,000 transfer to a new address, likely for additional laundering purposes.

Over the last eight days, these hackers have managed to wash 12,600 Ether, equivalent to around $30.13 million. As I type this, they continue to hold onto approximately 43,805 ETH, which is worth roughly $102.17 million. Besides their massive Ethereum hoard, they also possess other types of tokens, raising the total estimated value of their pilfered cryptocurrency to a staggering $107.58 million.

The WazirX attacker won’t stop laundering stolen $ETH!
Over the last day, the culprit transferred approximately 10,000 ETH (equivalent to around 23.3 million dollars) in total:
Total laundered: 12.6K $ETH ($30.13M) in…
— Spot On Chain (@spotonchain) September 10, 2024

Having a large amount of tokens available gives these hackers the potential to negatively impact the overall cryptocurrency market, with Ethereum being particularly vulnerable due to its current market conditions. As it stands, the market is already unstable and Ethereum has been having difficulty holding onto important support levels. If these hackers decide to sell more of their tokens, they could increase selling pressure on Ethereum, leading to further price instability.

Following some initial finger-pointing towards crypto custody firm Liminal, WazirX is now executing a broad restructuring strategy aimed at managing the financial consequences of the hack. This process may take time, as the stolen assets make up approximately 45% of the exchange’s $500 million assets, as reported in June.

Currently, Ethereum is being exchanged for approximately $2,330 per unit, and it has dropped by about 2.78% over the past week. Yet, it’s important to note that Ethereum has experienced a rise of around 7.22% since its low point of $2,173 on September 6.

Hacker With $100 Million In Shiba Inu On The Move Again

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2024-09-12 02:11