CDS Crypto News Crypto News Today- WBTC Scam Returns Stolen Funds Valued at $71 Million
Crypto News

Crypto News Today- WBTC Scam Returns Stolen Funds Valued at $71 Million

38
Crypto News Today- WBTC Scam Returns Stolen Funds Valued at $71 Million

The Thief Behind the WBTC Scam Returns Stolen Funds Worth $71 Million

Crypto News– In a surprising turn of events, a recent wallet poisoning scam resulted in the return of $71 million worth of stolen cryptocurrencies to the victim. The unknown attacker returned the stolen funds, primarily consisting of Ether tokens, on May 12, following increased attention from blockchain investigation firms due to the high-profile phishing incident.

On-chain security firm Lookonchain provided insights into the incident in a post on May 13. According to their findings, the attacker, possibly based in Hong Kong and utilizing VPNs, returned the funds after reports from firms like SlowMist_Team highlighted the suspicious activity.

The scam unfolded on May 3 when an investor fell victim to a wallet poisoning scam, sending $71 million worth of Wrapped Bitcoin (WBTC) to a bait wallet address. The scammer created a wallet address resembling the victim’s, making it difficult to discern the difference, especially in the hidden middle characters.

White-Hat Hacker, Benevolent Samaritan, or Fearful Thief: The Enigma Behind the $71 Million Return

Although the stolen funds were eventually returned, the on-chain transactions preceding the event indicate that this may not have been the original intention of the exploiter.

Upon receiving the stolen funds, the attacker promptly converted the 1,155 WBTC to around 23,000 ETH — a common tactic among malicious hackers aimed at laundering stolen funds through privacy protocols and cryptocurrency mixing services like Tornado Cash.

Starting on May 8, the attacker began dispersing the funds among more than 400 crypto wallets, ultimately distributing them across over 150 separate wallets before initiating the return of the assets.

Crypto News Today- WBTC Scam Returns Stolen Funds Valued at $71 Million

The funds were returned shortly after the on-chain security firm SlowMist published an analysis on the attacker’s possible IPs originating from Hong Kong. This suggests that the thief may have been frightened by the potential repercussions.

FAQs

What does WBTC stand for in the context of this news?

WBTC stands for Wrapped Bitcoin, which is a tokenized version of Bitcoin (BTC) on the Ethereum blockchain. It is pegged to the value of Bitcoin and allows Bitcoin holders to interact with decentralized finance (DeFi) applications on the Ethereum network.

Who returned the stolen funds, and when did this occur?

The stolen funds were returned by an unknown individual or entity involved in the scam. The return occurred on May 12, as reported in the news.

What details were revealed about the scam incident in the news article?

The news article mentioned that the scam occurred on May 3, when an investor sent $71 million worth of WBTC to a bait wallet address, falling victim to a wallet poisoning scam. The scammer created a wallet address similar to the victim’s and made a small transaction to deceive them.

For the latest in crypto updates, keep tabs on Crypto Data Space.

Crypto News Today- WBTC Scam Returns Stolen Funds Valued at $71 Million

Leave a comment

Leave a Reply

Related Articles

Breaking Crypto News – What are the Advantages of Using EVM RPC for ICP Smart Contracts?

Breaking Crypto News - What are the Advantages of Using EVM RPC...

Crypto News Today- Approach ETH pullbacks with careful consideration

Bitcoin's price fell 15% post spot Bitcoin ETFs, but traders doubt Ether...

Crypto News Today- Nvidia X Bitcoin: Nvidia unlikely to replicate its success against Bitcoin in the next decade

In the last decade, Nvidia, a technology company, surpassed Bitcoin in performance....

Pepe Crypto News – Bitcoin Roller Coaster: From Below $66,500 to Over $69,000

Pepe Crypto News - Bitcoin Roller Coaster: From Below $66,500 to Over...