Cryptocurrency detective ZachXBT uncovered a bizarre incident regarding the Bybit hack, where the attacker laundered stolen Ethereum using memecoins.
Bybit Incident and Memecoins
The attack on Bybit resulted in the theft of approximately $1.5 billion worth of Ethereum. Unexpectedly, the attacker employed unconventional methods to move the funds. One wallet linked to the attack transferred 60 SOL to an address that then launched the QinShihuang memecoin, achieving a trading volume of over $26 million.
Moving Cryptocurrency Across Networks
ZachXBT noted how the funds from the hack were transferred across different blockchain networks. On February 22, the attacker moved $1.08 million to a wallet, which then bridged USDC to the Solana network. From there, the funds were moved to Binance Smart Chain and distributed across more than 30 addresses before merging again. The funds were then split among 10 BSC addresses and moved back to the Solana network.
Impact and Preventive Measures
In response, PumpFun removed the Lazarus-related memecoin from its frontend to prevent further illegal activity. Memecoins were used to mask transactions, making tracking efforts much more difficult. In some cases, addresses received small amounts of tokens to create the appearance of transactions.
The Bybit situation and the use of memecoins for laundering highlight the complexity and ingenuity of modern cryptocurrency attack methods.
