Some Hackers Moved $500K DAI Cryptocurrency To Tornado Eroding The Compliance Ban
The Treasury Department’s Office of Foreign Assets Control (OFAC) went on to impose penalties against the Tornado Cash mixing protocol in August 2022. The choice was made following the necessary procedures taken against the purported cryptocurrency money launderer.
On Friday, September 9th, 2022, a prominent crypto security firm named Certik shed light on the use of a controversial crypto mixer. In its tweet, Certik highlighted the movement of DAI stablecoins from a wallet address to Tornado Cash. It noted the transfer of 500K DAI from EOA 0x0B789 to the crypto mixer platform.
Crypto security firm alleged the address to be in connection with the person responsible for the exploit on the DAO Maker protocol. This exploit resulted in the stealing of funds from the protocol. Additionally the tweet consisted of a concern and asked to stay safe.
The protocol of DAO Maker is not to be confused with the DAI stablecoin issuer—MakerDAO. The former is a prominent crowdfunding decentralized finance application. CEO of DAO Maker Christoph Zaknun said during an AMA event about the instance where in August, 2021, the fundraising defi application got under attack.
According to the report, the attack made the protocol lose around 7 million USD worth ERC-20 tokens as well as stablecoins. Overall 5,251 users were affected after the attack.
Packshield to Back Up the Allegation
Another crypto security company Peckshield made a statement in agreement to Certik where it also found the transfer of 500K DAI through Tornado Cash. Probing firms ensured the funds were the same stolen after the attack on DAO Maker last year.
On the same day, which is September 9th, 2022, Peckshield also made a tweet noting the detection of the address involved in the DAO Maker attack.
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