September 19, 2024

WazirX Hacker Moves $32M Stolen Ether in Four Days to Tornado Cash as Binance Denies Founder’s Claims thumbnail
Business

WazirX Hacker Moves $32M Stolen Ether in Four Days to Tornado Cash as Binance Denies Founder’s Claims

by coindesk com01

“WazirX founder Nischal Shetty claimed earlier this month that the ultimate owner of the crypto exchange was Binance – a statement the latter has denied.”, — write: www.coindesk.com

  • Hackers has moved 15,000 ETH, in tranches of 5,000, since Monday.
  • The hacker still holds over $50 million in tokens.
  • Amid an ongoing restructuring, WazirX founder Nischal Shetty has previously blamed both custodian Liminal and Binance for the situation. However, both parties have denied these claims, highlighting WazirX’s attempt to deflect responsibility for losing user funds.
  • Binance Challenges Indian Tax Showcause; Ronin Pauses After $9 Million White Hat Hack

    02:13

    Binance Challenges Indian Tax Showcause; Ronin Pauses After $9 Million White Hat Hack

  • Ether Sees Strongest Bull Momentum in 3 Years

    01:08

    Ether Sees Strongest Bull Momentum in 3 Years

  • Former SEC Senior Trial Counsel on Spot Ether ETF Approval Outlook

    12:10

    Former SEC Senior Trial Counsel on Spot Ether ETF Approval Outlook

  • Former SEC Senior Trial Counsel on Spot Ether ETF Approval Outlook

    12:10

    Former SEC Senior Trial Counsel on Spot Ether ETF Approval Outlook

    • Stolen funds from beleaguered Indian crypto exchange WazirX are on the move as executives continue to shift blame amid an ongoing restructuring in Singapore.

    Hackers behind the WazirX’s $230 million hack from July, moved a tranche of 5,000 ether (ETH) early Thursday to privacy service Tornado Cash. They have moved 15,000 ether in batches of 5,000 since Monday night, data tracked by on-chain tool Arkham shows.

    As of Thursday morning, the hacker’s wallet still hold over $50 million worth of tokens, majorly ether.

    Tornado Cash allows crypto users to exchange tokens while masking wallet addresses on various blockchains. The service, by itself, is not nefarious but is commonly used by crypto criminals to clean an online trail that could lead to the identity of those moving stolen funds.

    In July, WazirX was hit by a security breach in one of its multisig wallets, causing over $100 million in shiba inu (SHIB) and $52 million in ether, among other assets, to be drained from the exchange.

    The stolen funds accounted for over 45% of the total reserves cited by the exchange in a June 2024 report – and the exchange has since filed for a restructuring process to clear liabilities.

    WazirX founder Nischal Shetty shifted blame several times during the restructuring period. They first said the hack was possible due to a mistake on custodian Liminal’s end, a claim that Liminal rejected.

    In late August, Shetty claimed crypto exchange Binance held majority of the funds belonging to WazirX parent Zettai Labs, restricting the former’s ability to repay affected customers from its books.

    But Binance squashed the claims in a blog post earlier this week.

    “The WazirX team and Nischal Shetty continue to mislead WazirX customers and the market regarding the relationship between WazirX and Binance,” it wrote in a statement. “Binance has not owned, controlled, or operated WazirX at any time, including before, during, or after the July 2024 attack.”

    “Their attempts to shift responsibility is a disappointing deflection tactic, but it should not distract anyone from the glaring issue to be addressed here: the need for the WazirX team to be held accountable for user funds lost under their management,” Binance added.

    Edited by Parikshit Mishra.

    Disclosure

    Please note that our

    privacy policy,

    terms of use,

    cookies,

    and

    do not sell my personal information

    has been updated

    .

    CoinDesk is an

    award-winning

    media outlet that covers the cryptocurrency industry. Its journalists abide by a

    strict set of editorial policies.

    In November 2023

    , CoinDesk was acquired

    by the Bullish group, owner of

    Bullish,

    a regulated, digital assets exchange. The Bullish group is majority-owned by

    Block.one; both companies have

    interests

    in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin.

    CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Shaurya Malwa
    Shaurya is the Deputy Managing Editor for the Data & Tokens team, focusing on decentralized finance, markets, on-chain data, and governance across all major and minor blockchains.

    Follow @shauryamalwa on Twitter

    coindesk com

    Related posts

    Sen. Elizabeth Warren’s Pro-Crypto Opponent, John Deaton, Has a Plan to Beat Her

    coindesk com

    Animoca’s Timeline to Go Public Would Depend on The Market’s Status: Yat Siu

    coindesk com

    Bhutan, Tiny Country With $3B GDP, Holds Over $780M in Bitcoin

    coindesk com

    Leave a Comment

    This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More