google-news-img

WazirX Hacker Moves Another $13.2M in ETH to New Address

  • Despite these transfers, the hackers still hold $50 million worth of cryptocurrency
  • They have continued to use Tornado Cash making it harder to trace where the money goes
  • Cyver VP said he tried to warn WarirX about the hack early but the exchange did not respond in time

WazirX exchange exploiter is on the move again. According to Blockchain security platform, PeckShield, the walled address associated with the hackers transferred 5,000 ETH, approximately $13.2 million to a new address. This is just one of many series of transfers since the India exchange got hacked for millions back in July.

Funds Moved Through Tornado Cash

Cyvers security firm reported another transfer recently on Sept 3 when 2,600 ETH worth $6.5 million was transferred through Tornado Cash, a mixer platform that hides the trail of crypto transactions, making it difficult to track the stolen funds.

Another transfer of 10,000 ETH was also detected on Sept.19. The fund was sent to address, “0x46b9d..” in 50 different transactions of 100 Ether and 1 transaction of 5,001 ether.

According to DeBank, a crypto tracking platform, one of the hacker’s wallers held $6.7 million on Sept 2. After making about 26 transfers of 100 ETH each within an hour, the wallet now contains only $1.

The WazirX Hack: A Brief Recap

The nightmare started in July when the hackers exploited a flaw in a multi-sig wallet on the exchange, leading to the theft of the $235 million. This has been recorded as one of the biggest breaches in recent crypto history.

Based on the previous report, about $100 million in Shiba Inu (SHIB) tokens and $52 million worth of ether which represents more than 45% of the exchange’s total reserves as of June 2024 were stolen

Warirx has since been under intense scrutiny, with people criticizing the exchange for its lack of proper security. The exchange has engaged in different legal restructuring processes, especially in Singapore

However, WarirX’s founder, Nischal Shetty has shifted the blame multiple times during this restructuring period. Initially, Shetty accused the exchange’s custodian, Liminal, of negligence in the hack, but Liminal denied it.

Later in August, Shetty said that Binance, which held most of the exchange parent company Zattai Labs’ fund, was limiting the company’s ability to compensate its users. But Binance denies the allegation in a blog post, saying that it has no direct control over WazirX’s funds.

I alerted Nischal of WazirX Hack – Cyvers VP

During a recent interview with India youtuber Aditya Singh, Micheal Pearl, the Vice President of Cyver said that the cybersecurity firm flagged an unusual activity in a wallet connected to WarirX on the morning of July 18, 2024, the same day the hack happened.

Pearl said he reached out to Shettly on WhatsApp and Telegram about the breach. However, there was no immediate response, and by the time Wazir X took action, it was too late. Micheal during the interview,

“But to be honest, after you get hacked, there’s not much you can do. All the necessary steps that you can do, should be done beforehand and not afterward. You can now only assess the magnitude of the damage and see what you can do about it.”

Disclaimer

The contents of this page are intended for general informational purposes and do not constitute financial, investment, or any other form of advice. Investing in or trading crypto assets carries the risk of financial loss. The forecasted data (also called “price prediction”) on this page are subject to change without notice and are not guaranteed to be accurate.

Our Newsletter

Subscribe to our newsletter to get the latest news and promotions.

Kelvin Munene
Kelvin Munene
Kelvin is an experienced crypto journalist with over 6 years of experience backed by an Actuarial Science and English Degree. He has over 10,000 works published under his profile in several major media sites in the crypto, Web 3, and Finance sectors.