Hackers Reap Harsh Cryptocurrency’s Cash-Drop Opportunities
Some crypto traders used the occasion when the value of Ethereum (ETH) abruptly fell by 20% on August 30 to obtain lower prices for the stolen money they had at their disposal before it could crash. The hacks dealt with by some blockchain security firms were cited as prime examples of such trading.
Pancake Bunny Exploiter Acquires ETH
The blockchain security company PeckShield said that the malicious actors who had executed a groundbreaking 2021 Pancake Bunny attack in Binance Smart Chain wired 7.8 million DAI, which stood at 2.922K ETH at the moment. The DeFi system was targeted in a flash loan scam in 2021 where $46 million was lost in tokens that were then transferred to other cryptocurrencies such as BNB, USDT, and DAI.
Exactly one month ago, the exploiter address was reactivated, and 1,002 ETH was transferred to Tornado Cash, a privacy-protecting crypto mixer. This and other black funds were apparently used to buy some cryptocurrencies. At that time, the offending account had $11.4 million in DAI.
Nomad Bridge Hackers Strike at ETH
Analytics firm Lookonchain noted the entities that managed to get hold of a considerable sum of the ETH through the price plunge thanks to the downturn of the market. One of the projects on the blockchain, Nomad Bridge, was breached as that happened after a bug was exploited in a smart contract.
On the 30th of August of the year 2024, attack operators spent 39.75 million DAI to get 16,892 ETH. Subsequently, the offenders concealed these monies by using Tornado Cash in units of 100 ETH each, which means in total approximately 2,400 ETH was funnelled through the privacy mixer.
Over the time, the Nomad Bridge hackers have transferred the funds through different channels. A total of $15 million of that went via Tornado Cash in January 2023 and the other part of the money, which was $7.5 million, was sent to an undisclosed destination. For instance, the wallet of one of the actors contained 14,500 ETH of over $33 millionZnes at the time of the writing.
Implications of the Recent Hacker Activity
Particularly the time of Ethereum’s most considerable price drop in 2024 is parallel to a hacker action but some individuals have a high percentage of gaining and making the most out of this mistake. Analysts recommend that ETH has not managed the basic need of regain and the price can still fall.
The major crypto market has been synonymous with instability, with a single billion dollars being liquidated in less than 24 hours. This lack of stability makes the gamblers and defrauders use the legitimation of the stolen amounts down the line by worth repeated investments into the stuff they have smuggled, which is difficult for law enforcement to track and to recover these.
Moreover, the privacy technologies, such as the Tornado Cash, are continuing to have an impact on the topic of crypto-related crimes. It is an ongoing task to secure blockchain ecosystems from such types of attacks.
