Stolen ShapeShift Funds on the Move, Passing Through Coinjoin Mixers
Back in April, Erik Voorhees explained to Bitcoin.com the whole story of the ShapeShift hack with the “Looting of the Fox” and followed up with us in an interview about the situation. Now, the coins stolen by a hacker who collaborated with a rogue ShapeShift employee have left their original wallet, according to blockchain explorers. ShapeShift’s Stolen....
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The Bitcoin stolen from cryptocurrency exchange ShapeShift has begun to move. In March of 2016, a hacker, aided by a rogue employee, stole more than $230,000 worth of cryptocurrency from ShapeShift. Most of it has not been recovered, and the perpetrator has not yet been identified. Erik Voorhees, CEO of ShapeShift, kept the general public appraised as to the situation during and after the hacking incident. Mixing transactions so as to confuse traceability. On June 30th, the stolen funds were moved to two separate addresses, one in a $205,666 chunk and the other in a $654 chunk. Each one of....
Cryptocurrency mixers offer users a higher level of privacy and anonymity for their transactions, but often run into trouble with regulators. Cryptocurrency mixers have been an interesting topic of discussion ever since the advent of cryptocurrencies and their adoption by retail investors around the world. Cryptocurrency mixers are services that essentially focus on one feature of a blockchain network: privacy. Cryptocurrency mixers, also known as tumblers, provide anonymity so no one can trace the sender or receiver of a transaction. This can help protect the identity of individuals who....
Blockchain analytics firm Chainalysis highlighted that 10% of all funds coming from illicit addresses are sent to crypto mixers. As on-chain activities slow down during the crypto winter, usage of cryptocurrency mixers has doubled in 2022, with addresses classified as “illicit” being the top contributor. Cryptocurrency mixers, also called “tumblers,” provide anonymity to transactions, making the sender or receiver of the transaction completely unidentified. While this has a valid use case for everyday users, hackers have used it to hide from authorities. In a report by analytics firm....
Digital currency exchange ShapeShift lost as much as $230,000 in three separate thefts over the course of a month, according to an incident report prepared by the service and obtained by CoinDesk. The report comes days after ShapeShift was taken offline following a then-undetailed security incident that resulted in the loss of funds held in the exchange’s connected wallets. ShapeShift later said that it believed the theft was an inside job. According to the report, that employee stole $130,000 from ShapeShift in mid-March. The employee, who was not identified, later sold sensitive security....
After a month of battling several attacks on Shapeshift’s trading platform, the company announced a full shutdown of their website to be reconstructed with improved security due to missing funds which tallied up to $230,000. The platform should be back on April 20. With the first attack on March 14, 315 BTC was stolen which resulted in ShapeShift’s decision of taking the site offline and relaunching. Two more attacks also managed to breach ShapeShift’s security and a further $124,000 was stolen. Throughout the course of several weeks, Shapeshift experienced a total of 3 attacks which....