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Some stolen Bitfinex coins would already be exchanged again

June 9, 2020

Recently, Some of the 120,000 Bitcoin (BTC) stolen by Bitfinex in 2016 started with it Move again. This is what happened to that stock of coins worth over $ 1 billion.

2016 Bitfinex Hack Summary

Summary of the Bitfinex hack in 2016. Source: Crystal.

$ 1 billion in BTC is waiting to be sold

Some stolen Bitfinex coins would already be exchanged againSome stolen Bitfinex coins would already be exchanged again

Until now, Hackers removed less than 3,000 BTC from almost 120,000 BTC that they stole from the stock market. Most of the coins issued went to Darknet markets, with giant Russain Hydra topping 736 BTC. This is worrying as it would mean that a large amount of Bitcoin could be launched at any time. On the other hand, This could be an indication that criminals are finding it increasingly difficult to wash stolen cryptocurrency.

Bitcoin finds its way home

On June 2, 82 of the stolen bitcoins were transferred to private wallets where they are still located. Two other transactions took place on the same day.

June 2 transactions with stolen BTC

Stolen BTC transactions, June 2. Source: crystal.

We track the geographic origin of these transactions. These transactions came from the United States. USA, UK and Singapore. This would likely indicate that the thieves used a VPN to hide their true location.

Another interesting observation is that apparently some of the stolen Bitcoin came to Huobi, Binance and Bitfinex in 2019.

Apparently the hack of 2.9 BTC landed on Bitfinex from 2016 2019

Apparently, 2.9 BTC from the 2016 hack landed on Bitfinex in 2019. Source: Crystal.

We cannot come to this conclusion with complete certainty, but we know that no companies have been identified as exchanges, mixers or payment processors between the place of origin and these exchanges. If our conclusions are correct, these exchanges must have the names of the hackers or their accomplices.

As more and more cryptocurrency companies take their customers and anti-money laundering regulations seriously, hacking cryptocurrencies should become a less profitable undertaking.

Bitfinex declined to comment on Cointelegraph’s results.