Bitfinex hacks BTC are on the moved

[Lanatsa]

I'll be surprised if they don't mix it before taking it to some exchange wallet.

 Of course they probably will. They're not dumb not to use btc mixer address. Those hackers surely waited this bull run for sure and then profiting from this market bull. However, it is also possible that they have converted it right away into fiat after hacking. Afterall, they need physical money to survive and that issue was years passed already.

the hack happen on 2016 and 1 year later theres a bull run that happened . they sold thier coins while everyone is selling too so that they wont get noticed  . no matter how many years they will wait we people wont forget the damage that they have dealt on this market  .  thanks for throwing this back op , i thought theres another hack again happened  .  thankfully no and hope no more hacks that will occur because cryptos are peacefully rising now .we dont want to disrupt that moment

Hacking cant really be stopped on this market yet we know that huge funds are circulating on this field which is a perfect target for hackers out there.

So you should expect that there would be still incidents like this since theres no such thing about perfect security.When it comes on mixing those coins

then it wont be a problem yet they are indeed not dumb on not to make use of mixers before they do make a deposit on an exchange on tending to cash out.

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[Miaallen]

You mean they're tracing the bitcoins? But what I was made to believe is that bitcoins or any cryptocurrency or blochkchain transactions cannot be traced. I'm a newbie though. And I seem to be learning on daily basis most especially with this forum.

[yazher]

Those guys are just waiting to move their stolen BTC until today. now everyone's eyes are on them I wonder if they still moved it or just waiting for the people to forget it and move it again after sometimes.  This is the right time to track those criminals and this is a challenge for those who have been tracking those hackers. if they find out some clue about these transactions, it would lead them to whoever hacked Bitfinex 4 years ago.

[Yogee]

You mean they're tracing the bitcoins? But what I was made to believe is that bitcoins or any cryptocurrency or blochkchain transactions cannot be traced. I'm a newbie though. And I seem to be learning on daily basis most especially with this forum.

The Bitcoin blockchain is transparent. If the sender doesn't use services to obfuscate the transactions, anyone can trace the transactions sent from one wallet to another but that doesn't mean the wallet owner can be identified.

I can't say if that's the same case for other blockchains. Monero is well known for anonymity but other cryptocurrencies do not have that feature.

[larus]

Bitfinex need this money back for staking and bank card support via ownr

[serjent05]

Wondering if exchangers would able to spot it out and make holds of those once it do reach out the platform.Tracing it completely or do follow would really be a pain in the ass.

Since the addresses were tagged, I am sure exchanger will notice it and freeze the btc sent to their exchange but I bet these hackers will use coin mixing services or any form of masking their BTC conversions.  I wonder if ever they use decentralized exchanges and buy altcoin, what would happen to those who received their hacked BTC?  Will they be tagged as one with those culprits?  Anyway would love to see mixers into the action of freezing their accounts whenever these hackers sent BTC for mixing.

[bearexin]

They are definitely looking for a way to sell the coin and cash out . And the funny thing is they will likely move it to a coin mixer and after that they won’t be traced any longer and the money is gone. Coin mixers has always been a means for these hackers to escape with their looted money from exchanges, and I wish there was a way to trace them even after they have mixed those coins, but it’s not possible, unless there are other means which I am not aware of. These people deserves to be punished, they are fond of bringing bad names to the cryptocurrency market.

The recent twitter+BTC doubling based hacker+scammers got arrested in USA. That was not fully crypto based incident but scammers used cryptos. Similar to that, if all crypto hackers will be caught then we do not need to hesitate to hold big funds on exchange itself. I am sure scammers free crypto ecosystem may possible when AI based surveillance will be implemented.

[CaVO32]

You mean they're tracing the bitcoins? But what I was made to believe is that bitcoins or any cryptocurrency or blochkchain transactions cannot be traced. I'm a newbie though. And I seem to be learning on daily basis most especially with this forum.

Since they know the addresses that were involved in that hacked. They tagged it Bitfinex Hack 2016 like for example below -

https://whale-alert.io/transaction/bitcoin/5b6bc2368138c2cb40126f041b90b3d0730d8feb11edf9384a00115087cf3245


So if in case an exchange will receive it, they know where it is coming from and they should flag it down immediately and report about it.
There are ways to check if the btc address is a fraudulent one-
https://news.bitcoin.com/how-to-check-bitcoin-address-scam/

And if you want to tag certain address -
https://bitcoinwhoswho.com/tags

Conjoin or mixer services should also see where this is coming from. And if these scammers are not careful, they will be traced as they are now starting to move.

[gentlemand]

https://www.bitfinex.com/posts/494

Bitfinex have just posted an exceedingly large reward to get these coins recovered, 25% of the total if the hacker themselves returns it.

That might set up a rather unfortunate precedent in future. If I were the thief I wonder what course of action I'd take.

[Zicadis]

https://www.bitfinex.com/posts/494

Bitfinex have just posted an exceedingly large reward to get these coins recovered, 25% of the total if the hacker themselves returns it.

That might set up a rather unfortunate precedent in future. If I were the thief I wonder what course of action I'd take.

The post also mentions that the police are still investigating the hack.

It would be a pretty bad idea for the thief to accept 25% of the amount and still potentially get smacked down by the police for stealing almost 120,000 BTC.

Realistically, they're in an equally bad position with the police either way. From the hacker's perspective, it would make more sense to simply keep the entire sum, and evade the law, rathan take 25% of the sum, and still have to evade the law.

Would have been more enticing for the hackers if Bitfinex agreed to drop all pending investigations etc.

[gentlemand]

Would have been more enticing for the hackers if Bitfinex agreed to drop all pending investigations etc.

Would that be their call to make? Not sure where their law is based and who is investigating.

Yes, I would be more than slightly nervous about having any dealings with them, however those coins are a giant burden and I'd be keen to get it off my back. There won't be too many options.

[gentlemand]

Does the exchange really want to find these bitcoins and thereby deflect all suspicions from itself. Or they want to find a legal way to get those bitcoins back on the market.

I think they can be shady and incompetent assholes and the scene would be better off without everything they've ever come up with, but I don't think they're outright thieves.

It's their property. It's also a vast amount of property. That would be a monstrous and injection into their business. I assume anyone personally liable has long since been paid back and paid off.

[bayu7adi]

What is the biggest risk when a company has stolen most of its BTC assets besides the price dump? This is something that makes some people curious when there is big news about the movement of the number of BTC sizable to other wallets.
And if this really could seriously damage the blockchain-based digital currency ecosystem, people should have started leaving Bitcoin before the funds in Satoshi Nakamoto's wallet came out, because that's the largest amount.

[bitcampaign]

waiting for them to throw it away and I'm sure it doesn't seem to affect the price of bitcoin if they sell it cheap, many will buy it from their hands, I'm also still not sure that the hacker came from outside of bitfinex, it may be that insiders are part of the hacker, address the wallet should also be marked so that the person cannot sell it to any exchange, everyone hopes the price of bitcoin continues to rally so this news does not affect the price of bitcoin in the future

[Yaunfitda]

Does it mean that the thief moved the whole coins into only one wallet? Is it? It is so crucial and also suspicious, isn't it? If they are the real thief, they should not do that thing because everybody can then check the transactions. They can now where the transaction is ended. That is why they can be trapped, chased, or even arrested because of that. Do they really act that kind of harmful? Well, it may be strange. but if the transaction is really from the thieves although it was from several years ago, it should be fixed and found for a better situation.

They've used a lot of wallets to transfer and mislead investigators that time, but since every transaction is recorded, they can still be followed even after so many years. And now it seems that Bitfinex is offering a bounty:


Up to US$400 Million Reward for Return of Stolen 2016 Bitcoin

Bitfinex is offering a reward to any persons that connect us with hackers responsible for the unauthorized transfer of almost 120,000 bitcoins from the exchange in August 2016. As part of the same initiative, Bitfinex is also offering a reward to the hackers themselves for the return of the stolen property. This incident is a dark chapter in our exchange's history, and we are pleased to offer this reward as further evidence of our determination to obtain the lost property.

Early in the morning on August 2, 2016, hackers breached the security systems of our exchange. As a result, 2072 unauthorised transactions were broadcast on the Bitcoin network, involving 119,755 bitcoins in aggregate. We have learned valuable lessons from this painful episode, addressing the security issues and vulnerabilities associated with the theft.

Today's announcement of a reward is our latest effort to recover these stolen funds. Those who put Bitfinex in contact with the hacker will receive 5% of the total property recovered (or equivalent funds or assets at current market values), and the hackers will receive 25% of the total property recovered (or equivalent funds or assets at current market values). Any payments made to those connecting Bitfinex with the hackers and the hackers themselves will be classified as costs of recovery of the stolen property.

The aggregate rewards available under this programme could be worth up to approximately US$400 million at the current BTC price if all bitcoins are fully recovered. The bitcoins stolen minus recoveries in 2019 are worth $1.344 billion today, with 30 per cent of that amount equal to $403,288,427.

In order to confirm the identity of the hackers, we will request that 1 Satoshi is sent from the wallet address responsible for the hack to a wallet address specified by Bitfinex. We will work to ensure this can be done safely, thereby protecting the identities of all parties, and Bitfinex reserves the right to impose conditions on any transfers in order to verify claims and ensure a secure process.

As the recent hacking incidents at Twitter and Ledger demonstrate, this type of crime continues to be a threat for all businesses in the digital asset space and the wider technology sphere. No-one in our community can afford to be complacent about the ingenuity of criminal gangs to perpetuate new types of fraud.

Bitfinex has made security the overriding, number one priority of the exchange. As an exchange, we know we owe our success to a customer base that has loyally supported us through good and bad times. In the aftermath of the 2016 security breach, the exchange provided BFX tokens to all affected users. Each token represented $1 of losses. Those BFX tokens started trading on Bitfinex at less than $0.20, and gradually increased in value to almost $1. Monthly redemptions began on September 1, 2016, and the last BFX token was redeemed at the beginning of April 2017. More than 52 million BFX tokens were converted to shares of iFinex Inc. at 1:1 tokens to shares.

We have continued to work with law enforcement agents in investigating the 2016 security breach. In February 2019, U.S. authorities recovered 27.66270285 bitcoins stolen in the 2016 hack, which were converted to U.S. dollars and paid to RRT (Recovery Right Token) Holders.

Those with information relating to the 2016 hack at Bitfinex can contact us at: @bitfinex2016 via keybase.

https://www.bitfinex.com/posts/494

Now, the game continues, that bounty is really f**ing good for hunters to pursue this hackers, bring out your popcorn guys, we will see how this is going to end.

[gentlemand]

Now, the game continues, that bounty is really f**ing good for hunters to pursue this hackers, bring out your popcorn guys, we will see how this is going to end.

Check the wording. They're offering 5% to anyone makes an intro to the hacker or 25 to the hacker themselves. There's no mention of 'hunters' or ultimately dealing with anyone other than the thief at all. They haven't put up a wanted poster. They're pragmatic enough to realise no outside party is going to get anywhere for now at least.

[kryptqnick]

To refreshed those who are not aware of the hacks backed in 2016, The Bitfinex Bitcoin Hack: What We Know (And Don’t Know).

According to whale alert:


https://twitter.com/whale_alert

The move coincides when the price of bitcoin is picking up, obviously, these criminals wanted to enjoy their loot and could be cashing it out anytime soon.

Unfortunately, that's the sacrifice for decentralization and pseudonymity. There's a very good chance that these hackers will get away with stealing 120k BTC, as it's not that hard to use a mixer and then an exchange that doesn't require KYC/make an exchange of Bitcoin to fiat with fellow criminals. 5% of the recovered BTC is not a bad bounty, but if the hackers don't have a traitor, and they act carefully, I don't think they'll get caught.

Now, the game continues, that bounty is really f**ing good for hunters to pursue this hackers, bring out your popcorn guys, we will see how this is going to end.

Check the wording. They're offering 5% to anyone makes an intro to the hacker or 25 to the hacker themselves. There's no mention of 'hunters' or ultimately dealing with anyone other than the thief at all. They haven't put up a wanted poster. They're pragmatic enough to realise no outside party is going to get anywhere for now at least.

Well, the person connecting Bitfinex with the hackers is not necessarily someone on the inside. Merely hypothetically it can just be another good hacker that exploits a vulnerability of those who robbed Bitfinex (if these hackers make some mistake when trying to cash out). I don't understand why 25% goes to the hackers of Bitfinex, however, because aren't they supposed to go to prison or something? I understand Bitfinex is making an incentive for someone from the team that hacked them, but would that money really benefit those people?

[Shohag123]

People are always interested in recent news.I think thats why hacker doesn't want to sell his bitcoin immediately.Because in 2018 Bitcoin was on a peak.And he didn't sell back then.And I think the amount of Bitcoin he hacked from exchange,he shouldn't give a damn about price.Thats why he is on the move after 3 years so that he doesn't draw any attention.And i think it will not be easy to catch him.And a small fraction of bitcoin around 2550 Bitcoin is on the move.I think he will some how mix his coins and he can get away with 120000 Bitcoin.And he is not that kind of fool who will use exchange where he has done a kyc.So I think if he is alert then we will just see the transaction from here to there.

[RondoAnyar]

So it means that they are kept waiting for many years just get unnoticed?

This was also in my mind, how they can wait for that long period of time just wanted that they aren't noticing with someone but the fact, investigator's eyes are now looking at this connected addresses.

There's no any way for them to convert into fiat their hacked Bitcoin. I don't know if they keep sending or moving Bitcoin into different addresses that will help them to mislead those who investigate them. Poor scammers had millions of dollars in Bitcoin but it worth nothing because they can't convert it to cash.

If indeed a scammer can only move from one wallet to another without being able to convert to cash, I don't think it will have any impact on the market. because it only moves and there are no buying and selling transactions in the market.

[bonjouros]

I wonder is there is something that can be done to this money, like all the exchanges will block the incoming money coming from that address
so the hackers can't get a single penny from their loot.

The hackers are quite patience also as they are waiting for the right time to sell. Five million plus USD is quite a big money and it can also affect the crypto
prices if it can be dump instantly.