The hacker behind the February WazirX heist has consolidated $57 million worth of stolen Ethereum (ETH) into new cryptocurrency wallets. This latest development comes as the Indian exchange, WazirX, doubles down on its bug bounty program in an attempt to recover the misappropriated funds.
According to blockchain security firm PeckShield, the hacker transferred a total of 16,350 ETH, valued at over $57 million at the time of writing. The majority of the funds, exceeding $54 million, were sent to a single address identified as “0x58d.” This transaction marks the latest instance of the hacker attempting to move the stolen assets, raising questions about their plans for the funds.
#PeckShieldAlert The #WazirX Hacker -labeled addresses has transferred ~16.35K $ETH (worth ~$57m) to 2 new addresses pic.twitter.com/AYqwXYxN15
— PeckShieldAlert (@PeckShieldAlert) July 22, 2024
WazirX suffered a major security breach in February 2024, resulting in the theft of over $230 million worth of cryptocurrency. This incident stands as the second-largest crypto hack of the year so far. The exchange has faced criticism for its handling of the situation, with some alleging a lack of transparency and robust security measures.
In response to the ongoing saga, WazirX has reportedly enhanced its bug bounty program. Bug bounties incentivize security researchers to identify and report vulnerabilities in a system, potentially mitigating future attacks. Whether this initiative will yield any concrete results in recovering the stolen funds remains to be seen.
The consolidation of stolen ETH by the hacker signifies a potential attempt to launder or cash out the funds. Law enforcement agencies and blockchain security firms will likely be monitoring these new wallet addresses closely to track further movements of the stolen cryptocurrency.
This incident serves as a stark reminder of the evolving cybersecurity threats faced by cryptocurrency exchanges. As the digital asset market continues to grow, robust security measures and international cooperation will be crucial in safeguarding user funds and deterring future hacks.
