Published on mei 13, 2024, 12:42 pm
Image source: Fox News
```json [ "TLDR: $71 million of stolen cryptocurrencies from a wallet scam was mysteriously returned to the victim by an attacker who initially stole the funds. The attacker converted some of the assets to Ethereum, distributed them across wallets, but eventually gave back the stolen funds, possibly due to fear after being traced by investigation firms. This incident sheds light on cyber threats in the crypto space and highlights ongoing exploitation attempts despite a recent decline in such theft incidents." ] ```
On-chain transactions leading up to the return suggest this wasn’t a white hat hacker but a malicious actor who intended to steal the funds before investigators got involved. In a fortunate yet mysterious turn of events, $71 million worth of stolen cryptocurrencies from a recent wallet poisoning scam has been returned to the victim.
The unknown attacker chose to return $71 million worth of Ether (ETH) tokens on May 12 following a high-profile phishing incident that had drawn the attention of multiple blockchain investigation firms. Lookonchain, an on-chain security firm, detailed the sequence of events in a post on May 13.
The story takes an unexpected twist from the initial attack on May 3 when an investor fell prey to a wallet poisoning scam by sending $71 million worth of Wrapped Bitcoin (WBTC) to a deceptive wallet address created by the scammer. The fraudulent address closely resembled the victim’s legitimate one but with subtle differences that went unnoticed initially.
Despite returning all stolen assets, upon analyzing on-chain transactions leading up to the event, it becomes apparent that exploiting vulnerabilities for personal gain was not the attacker’s primary motive.
Upon receiving the purloined funds, the assailant expeditiously converted 1,155 WBTC into approximately 23,000 ETH – a tactic commonly employed by malicious actors to obscure their trail using privacy protocols and crypto mixing services like Tornado Cash.
Subsequently, starting from May 8, the attacker distributed these funds across more than 400 crypto wallets which were eventually divided among over 150 separate wallets before being surrendered.
The decision to return the funds came shortly after SlowMist, another on-chain security firm, published an analysis hinting at potential Hong Kong-based IPs connected with the attacker. This trace likely instigated fear in the thief regarding potential repercussions and led them to undo their actions.
Although $71 million might seem substantial, it accounts for just part of various phishing incidents associated with WBTC theft as per SlowMist’s incident report released on May 10. Notably, data tracked since 2021 indicates a decline in crypto theft due to hacks and scams, reaching $25.7 million in April – marking a record low since then.
This narrative unfolds within the backdrop of evolving cyber threats within cryptocurrency spaces and serves as a cautionary tale for investors and enthusiasts alike amidst escalating attempts at exploitation within these innovative financial ecosystems.
Original article posted by Fox News
