Cryptocurrency markets are still under regulatory scrutiny, and today’s transactions could cause future problems. Crypto detective ZachXBT shared a recent tweet series shedding light on the methods of attackers. Additionally, there is a global warning for users about a commonly used platform by attackers.
ZachXBT and His Findings
ZachXBT has uncovered many complex incidents in this field using advanced OSINT and on-chain intelligence skills. Known for receiving harassment-level requests for training from US IRS agents, ZachXBT released an important tweet series today. This was related to the $305 million DMM Bitcoin hack.
Zach discovered that $35 million of the assets were moved to an online marketplace called Huione Guarantee, which he claims is rife with scammers. He also provides some details about the DMM hack.
“Due to similarities in laundering techniques and non-chain indicators, it is suspected that the Lazarus Group is behind the attack. Over the weekend, Tether blacklisted a wallet on Tron containing 29.6 million USDT linked to Huione. Approximately $14 million flowed from the DMM Bitcoin hack to this wallet within three days.
The laundering path for funds transferred from the DMM Bitcoin hack to Huione can be summarized as follows:
Deposit BTC from the hack into a mixer
Withdraw BTC from the mixer
Bridge funds from Bitcoin to Ethereum or Avalanche via THORChain, Threshold, Avalanche bridge
Swap for USDT and bridge to Tron via SWFT
Transfer USDT to Huione
Huione has become a significant hub for illegal funds in Southeast Asia, primarily used by criminal organizations like pig butchering gangs.
A recent report by blockchain analytics firm Elliptic revealed that member merchants on the platform have transacted over $11 billion in volume and alleged that Huione Group has ties with the Cambodian government.
Additionally, I detected millions of dollars flowing here in last year’s $31 million Fintoch investment scam.”
Investors Beware
Those transacting on such flagged platforms risk on-chain interactions with money launderers. This could lead to your name being mentioned in future investigations despite innocence. Since crypto laws are not fully mature, innocent people have been victimized due to on-chain interactions.
