Raydium exploiter moves $2.7M to crypto mixer Tornado Cash

In an alert, blockchain security firm CertiK reported that the Raydium protocol exploiter had sent 1,774.5 Ether (ETH) to the mixer. The amount is worth around $2.7 million at the time of writing.

While security teams from various exchanges continue to combat the efforts of hackers, funds continue to flow to the sanctioned cryptocurrency mixer Tornado Cash. 

The attack on the Solana-based decentralized finance (DeFi) protocol occurred back on Dec. 16. According to the developers, the hackers took control of the exchange owner’s account and drained the liquidity provider funds consisting of various digital assets like USD Coin (USDC), Wrapped Solana (wSOL) and Raydium.

Following the initial investigation, the DeFi protocol determined that the exploit was due to a vulnerability in the decentralized exchange’s smart contracts. This allowed admins to withdraw liquidity pools as fees.

Because of the losses, the Raydium team also proposed a plan to compensate the victims of the hacks, involving using the decentralized autonomous organization treasury to buy missing tokens, repaying those affected by the exploit.

In a report released on Jan. 9, blockchain analysis firm Chainalysis pointed out that while Tornado Cash sanctions had some effect on the mixer, no organization can “pull the plug” easily compared to centralized services. While its website can be taken down, its smart contracts are able to run indefinitely, highlighting that anyone can continue to use it at any time.

Related: Balancer warns some LPs to remove liquidity ASAP because of a ‘related issue’

While hackers continue to move funds actively, it doesn’t always end up as a win for them. Recently, centralized crypto exchanges Binance and Huobi were able to detect and freeze funds deposited by the Harmony One hackers. Binance CEO Changpeng Zhao reported that their security team collaborated with Huobi to recover 121 Bitcoin (BTC) from the hackers, which was worth $2.5 million at the time.

All Dutch and English crypto news!

What is the Bitcoin hash rate? And why is at all-time highs?

Key Takeaways The Bitcoin hash rate is the amount of computing power contributed towards mining It has continued to take new all-time highs This squeezes miners' profitability, at...

Wordt dit de beste januari voor Bitcoin ooit?

We zijn benieuwd hoe lang Bitcoin zich aan zijn goede voornemen houdt om alleen maar te stijgen. Vanaf 1 januari is de koers met 39%...

State senator pushes bill to make Bitcoin legal tender in Arizona

Wendy Rogers, a state senator in Arizona, United States, has launched bills concerning cryptocurrency, including one that aims to make Bitcoin (BTC) a legal tender...

Several upgrades coming to Fantom: FTM price up 52% in 7 days

The price of the Fantom token, FTM, has risen by 5.9% today. Its price has risen by more than 52% in the last week. The Fantom ecosystem...

Beste exchanges

Koop je crypto bij Bitvavo