An Unknown Entity Moves $55 Million Worth of Ethereum from AAX Wallets, Says Analysts at Cyvers Alerts
According to analysts at Cyvers Alerts, an unidentified entity transferred more than $55 million worth of Ethereum from wallets associated with the bankrupt crypto exchange AAX. The investigation revealed that these anomalous transactions were aimed at laundering funds through decentralized exchange (DEX) platforms like UmbraCash and 1inch. The entity followed a series of steps, converting ETH to Wrapped ETH (WETH) and then to the USDT stablecoin before channeling approximately $20 million worth of crypto to the TRON blockchain via SwftCoin. Some funds stemming from AAX had been blacklisted by Tether Inc., while the remaining funds were reportedly deposited into centralized exchanges Bybit and MEXC.
Attempts to Bypass Anti-Money Laundering Measures
Cyvers Alerts analysts noted that the transactions exhibited patterns suggestive of attempts to bypass anti-money laundering measures. The unidentified entity converted ETH to WETH and then to USDT, potentially for the purpose of obfuscating the source of the funds. Additionally, certain funds from AAX had been blacklisted by Tether Inc., indicating suspicious activity.
Entities Involved
- An unidentified entity
- AAX – bankrupt crypto exchange
- UmbraCash – decentralized exchange (DEX) platform
- 1inch – decentralized exchange (DEX) platform
- SwftCoin – cross-chain service
- Tether Inc. – issuer of USDT stablecoin
- Bybit – centralized exchange
- MEXC – centralized exchange
Concerns Over AAX’s Operational Transparency
Following the suspension of activities and withdrawals on AAX, Ben Caselin resigned from his position as vice president of global marketing and communications. Caselin cited concerns over the exchange’s operational transparency as the reason for his resignation.
Hot Take: Uncovering Anomalous Transactions in the Crypto World 🚀
An unidentified entity has orchestrated a series of transactions involving $55 million worth of Ethereum from wallets associated with bankrupt crypto exchange AAX. This move, aimed at laundering funds through decentralized exchange (DEX) platforms, has raised concerns about anti-money laundering measures and operational transparency. The entity converted ETH to WETH and then to USDT, potentially trying to obfuscate the source of the funds. Certain funds from AAX had been blacklisted by Tether Inc., indicating suspicious activity. With these anomalous transactions, it is crucial for regulators and exchanges to remain vigilant in detecting and preventing money laundering in the crypto space. Stay informed and be cautious when navigating this evolving landscape. 🕵️♂️🔒
By
By
By
By