FTX Hacker Receives Tips On How To Launder $400 Million Loot

Summary:

• Coinbase Director Conor Grogan spotted Ether transfers to the “FTX Accounts Drainer” with backstage notes connected however to determination the assets undetected.
• The hacker was advised to leverage little fashionable and much privacy-based crypto mixer protocols.
• The U.S. Justice Department launched an probe into the substance aft astir $400 cardinal was stolen from Sam Bankman-Fried’s bankrupt crypto exchange. 

In a bizarre crook of events, the FTX hacker who drained astir $400 cardinal successful integer assets from Sam Bankman-Fried’s crypto speech received tips connected however to launder the stolen funds utilizing mixing protocols. 

Coinbase Director Conor Grogan noticed Ether (ETH) transfers to the wallet labeled “FTX Account Drainer” connected the artifact explorer Etherscan. The transaction carried a connection directing the hacker connected however to launder their monolithic lot. 

In the text, the sender suggested utilizing much privacy-focused crypto mixing services alternatively than fashionable protocols similar ChipMixer. Crypto mixers let users to obfuscate their transactions erstwhile moving assets astir and are a communal instrumentality utilized by crypto criminals attempting to launder their illicit wealth. 

The sender besides offered to stock much accusation with the hacker connected suitable crypto mixers, providing their telegram username should the hacker privation to interaction them. Director Grogan likened the effort to a income acold call. 

Notably, the sender besides registered a peculiar Ethereum Name Service (ENS) code with much instructions for the hacker to see – *swap-gray-crypto-for-white-stablecoins-check-input-data-utf8.eth”

FTX Hack Investigated By Justice Department

The U.S. Department of Justice launched investigations into a $400 cardinal hack connected FTX, arsenic antecedently reported successful aboriginal December 2022. Led by the DoJ’s National Cryptocurrency Enforcement Team, authorities said the transgression probe would probe the individuality of the hacker oregon hackers who drained Bitcoin (BTC), Ether (ETH), and different integer assets from SBF’s crypto speech soon aft the institution declared bankruptcy connected November 12.

Disgraced Founder Sam Bankman-Fried denied ties to the hack connected respective occasions, claiming helium did not “stash distant millions and billions successful crypto” successful his latest “Pre-mortem” investigation connected Substack. 

Apart from 8 transgression charges slammed against Bankman-Fried by U.S. authorities, national prosecutors are besides investigating SBF’s ‘inner circle’ including ex-CTO Gary Wang and erstwhile Alameda Research CEO Caroline Ellison. Both Ellison and Wang already flipped connected Bankman-Fried, pleading blameworthy to fraud successful speech for plea deals. 

Prosecutors besides met with FTX’s erstwhile main technologist Nishad Singh to weigh his accusation regarding the crypto exchange’s multi-billion clang successful 2022.