KelpDAO hackers are laundering millions in stolen crypto, data show

KelpDAO hackers are moving $290M in stolen crypto across blockchains, using privacy tools to mask the trail as DeFi contagion fears move through the sector.

What to know:

• Hackers are laundering $290 million in stolen crypto by moving large sums across the Ethereum and Bitcoin blockchains.
• Blockchain investigators have tracked the funds through privacy tools and cross-chain bridges often favored by state-sponsored groups.
• The breach has triggered widespread liquidations across the decentralized finance sector amid fears that the exploit could impact other protocols.

The hackers that stole $290 million in the KelpDAO exploit are beginning to launder their ill-gotten gains, according to onchain sleuth ZachXBT and data from Arkham.

Arkham shows that the wallet in control of the proceeds of the exploit sent two transfers of $117 million and $58 million on the Ethereum blockchain during European hours on Tuesday.

ZachXBT reported that a portion of the stolen funds has already begun moving across chains. Roughly $1.5 million was bridged from Ethereum to Bitcoin via Thorchain, alongside an additional $78,000 routed through the privacy protocol Umbra. North Korean hackers Lazarus Group have previously used protocols like Thorchain to launder funds.

Cross-chain routing and privacy tools are commonly used in the early ‘layering’ stage of laundering, suggesting the attacker may be preparing to further disperse the funds across multiple venues.

The KelpDAO exploit is one of the largest decentralized finance breaches in recent months, spurring a wave of negative sentiment across the DeFi sector and fears over contagion will spread to other blockchains.

Layer 2 network Arbitrum said Monday it had frozen $71 million in ether linked to the hack, a move that could pressure the exploiter to accelerate efforts to move and launder the remaining funds.

More For You

Marisks, a maritime risk company, alerted ships stranded by the Hormuz blockade to scammers posing as Iranian authorities asking for bitcoin or USDT.

What to know:

• Shipowners are receiving fraudulent messages from scammers posing as Iranian authorities and demanding bitcoin or USDT payments for safe passage through the Strait of Hormuz, according to Greek risk management firm Marisks.
• Marisks said it believes at least one vessel fell victim to the scam and was fired on while...

Almost 80% of Japan's institutional investors plan to buy crypto within 3 years, survey finds

30 minutes ago

Bitcoin trades above a make-or-break level ahead of Warsh hearing

45 minutes ago

Bitcoin climbs as risk sentiment improves, altcoins hit by exploit concerns

1 hour ago

Crypto scammers offer ‘safe passage’ through Hormuz. At least one ship may have been conned.

1 hour ago

Bank of Korea’s new governor signals CBDC and bank token push, skips stablecoins in key address

2 hours ago

Strategy overtakes BlackRock IBIT in bitcoin holdings after bear market buying

2 hours ago

North Korea’s crypto heist playbook is expanding and DeFi keeps getting hit

14 hours ago

Aave could face up to $230 million in losses after Kelp DAO bridge exploit triggers DeFi chaos

15 hours ago

Bitcoin is now calmer than South Korea's stock market. Here's why it matters

2小时前

Arbitrum freezes $71 million in ether tied to Kelp DAO exploit

6小时前

Ripple wants the XRP Ledger to be quantum-proof by 2028. Here is its plan

6小时前

Kelp DAO claims LayerZero’s 'default' settings are what actually caused the massive $290 million disaster

21小时前