THORChain Volume Explodes as Traders Flock After Bybit Security Breach

THORChain Volume Explodes: Is the Bybit Hack to Blame?

Following the Bybit hack, THORChain, a decentralized protocol that allows users to exchange cryptocurrency across different blockchains, has experienced what may be called an unwelcome windfall. According to data provider DefiLlama, the protocol handled $4.66 billion in swaps in the week ending March 2, the largest amount ever recorded. On Sunday alone, the total surpassed $1 billion.

Bybit Hackers Use THORChain to Launder Stolen ETH

The spike in activity comes after the North Korean hostile entity stole $1.4 billion in ether from the cryptocurrency exchange Bybit on February 22. According to observers, there was record activity on the platform as a result of the entity using THORChain to swap and launder funds. According to onchain expert EmberCN, hackers have made record profits for THORChain by laundering the whole ETH value in ten days.

Starting from the initial Bybit Exploiter wallet, funds were sent across a further stretching net of wallets. With each ‘hop’ further from the main wallet, there was an increasing amount of intermediary wallets and the value transfers became smaller and smaller. From hop 2, the hacker started interacting with third-party entities to start swapping and laundering the funds. Entities with the most inflow volume from the hack include THORChain, Paraswap, Mantle, OK DEX and DODO,

Nansen

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