November 26, 2022

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FTX hacker dumps 50,000 ETH, still among top 40 Ether holders

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FTX hacker dumps 50,000 ETH, still among top 40 Ether holders

The hacker behind the bankrupt cryptocurrency exchange FTX started transferring their Ether

At the time of the FTX hack, there were two parties involved, one black hat that managed to drain $447 million and a white hat that managed to move $186 million of FTX assets to cold storage. However, when Bahaman Securities and Exchange Commission released a notice suggesting they are trying to move assets from the FTX, it raised many eyebrows, with many claiming that the securities regulator was, in fact, the black hat behind the exploit.

On-chain analyst ZachXBT highlighted the token transfer pattern of the black hat wallet and said that the wallet was dumping tokens and bridging sporadically was a very different behavior from the other addresses that withdrew from FTX and instead sent to a multisig on chains like Ethereum or Tron.

Looking at the movement of funds and the techniques involved in the transfer of these funds, It’s unlikely that FTX wallet drainer 1 is under the control of the Bahamian government based on today’s on-chain activity. The BTC activity is consistent with a peel chain, a form of money laundering that would be highly unusual for a government agency to be involved in.