An Estimated $400 Million Stolen from FTX Linked to Russian Cybercriminals
An estimated $400 million that went missing from Sam Bankman-Fried’s bankrupt FTX may be linked to Russian cybercriminal groups, according to research firm Elliptic. The funds were stolen in November 2022, mostly in ether (ETH), and remained inactive for five days before a substantial amount, 65,000 ETH ($100 million), was moved to the Bitcoin blockchain using the RenBridge service. The attackers then used a mixer, a blockchain-based tool, to hide their tracks. At least $4 million of the stolen assets were transferred to exchanges where they may have been cashed out.
Unveiling the Suspects
The individuals behind the attack remain unidentified, but insights from wallet data and an examination of fund movements could provide essential leads. Potential suspects range from rogue FTX employees to the North Korean hacking group Lazarus. However, Elliptic believes that evidence points more towards a Russia-linked actor. Stolen assets tracked through ChipMixer seem to have connections with funds from criminal groups associated with Russia before reaching cryptocurrency exchanges. This complex set of clues suggests the involvement of an intermediary connected to Russia.
FTX Fallout
The FTX hack had severe consequences for both the international exchange and its U.S. platform. Sam Bankman-Fried faced criminal charges in the aftermath of the attack. Stolen assets that had remained dormant for about a year began moving shortly before Bankman-Fried’s trial commenced and have continued to be on the move. Recently, over 15,000 ether worth nearly $25 million were exchanged for other tokens using the privacy wallet Railgun and the THORChain exchange.
Hot Take: Millions in Ether from FTX Hack Continue to Move
The recent revelation that millions in ether from the FTX hack continue to move raises concerns about the security of cryptocurrency exchanges. The involvement of Russian cybercriminal groups adds another layer of complexity to the investigation. It highlights the need for stronger cybersecurity measures and stricter regulations in the crypto industry to protect users’ funds. As the search for the culprits behind the FTX hack continues, it serves as a reminder that no platform is completely immune to cyber threats, and individuals must exercise caution when participating in the crypto space.
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