US authorities recently seized approximately $31 million in cryptocurrency linked to the 2021 hack of the Uranium Finance platform. The operation was conducted with the cooperation of SDNY and HSI.
Background of the Hack
In April 2021, a vulnerability in Uranium Finance's automated market maker on the Binance Smart Chain was exploited, leading to the theft of around $50 million in various tokens. This incident was one of the largest hacks in DeFi history.
Methods of Laundering Stolen Funds
Following the hack, the attacker attempted to launder the stolen funds using methods such as crypto mixing services and small deposits on centralized exchanges. Blockchain researcher Zack XBT suggested that some of the stolen funds might have been used to buy rare Magic: The Gathering trading cards.
Recent Seizure and Its Significance
The seizure of $31 million was made possible through a joint operation by SDNY and HSI. While details of the investigation have not been disclosed, this marks a significant development in the recovery process for the victims, nearly four years after the attack. The hack led to the shutdown of Uranium Finance, leaving victims without restitution.
The seizure of $31 million in cryptocurrency represents a crucial step in achieving justice for the victims of the Uranium Finance hack. The collaborative efforts of law enforcement agencies show progress in advancing the investigation.
