Bitrue Hacker Exchanges 16.345 Million DAI for ETH, Launders Funds via Tornado Cash

The Bitrue hacker has exchanged 16.345 million DAI for ETH and subsequently transferred the funds to Tornado Cash. This move is part of a larger incident where the attacker transferred approximately $30 million worth of crypto assets to a new address. The transferred assets include 5111.5 ETH and 16 million DAI. The use of Tornado Cash, a privacy-focused cryptocurrency mixer, suggests an attempt to obscure the trail of the stolen funds, making it more difficult for authorities to track the illicit transactions.

In April 2023, the hacker stole a variety of tokens worth $23 million at the time from the Bitrue exchange platform, then converted those assets into ETH. In March 2024, the hacker sold 4,207 ETH for $3,885 each, converting them into 16.345 million DAI. As of one hour ago, the hacker transferred DAI and ETH to a new address and is currently purchasing ETH with the DAI before laundering the ETH through Tornado Cash.

The exchange of DAI for ETH and the subsequent transfer to Tornado Cash indicates a strategic effort by the hacker to convert the stolen assets into a more liquid form and to enhance the anonymity of the transactions. DAI, a stablecoin pegged to the US dollar, provides a stable value, while ETH, being a widely accepted cryptocurrency, offers greater liquidity and ease of transfer. Tornado Cash, known for its ability to mix transactions and obscure their origins, further complicates the tracking process, adding layers of complexity for investigators.

This incident highlights the ongoing challenges in the cryptocurrency space regarding security and the need for enhanced measures to protect digital assets. The use of privacy tools like Tornado Cash underscores the sophistication of modern cyber threats and the importance of vigilance in the crypto community. As the investigation into the Bitrue hack continues, it remains to be seen how authorities will respond to this latest development and whether they can successfully trace the stolen funds despite the hacker's efforts to conceal their movements.