Kyber Network Exploit: Hacker Uses Tornado Cash to Launder $1.65 Million in Stolen ETH

• The Kyber Network hacker transferred 600 ETH via Tornado Cash.
• ETH dropped 2.9% in the past 24 hours and trades at $2,644.
• Kyber Network’s KNC token has dropped 92% from its all-time high.

The hacker who targeted Kyber Network, a prominent blockchain project and a multi-chain hub of liquidity protocols, has sent $1.65 million in Ethereum (ETH) through Tornado Cash, an Ethereum mixing protocol that’s caught the eye of regulators around the globe due to its use by scammers and hackers.

PeckShield, a blockchain analysis platform, first reported the transfer of funds on X. The exploiter’s wallet sent 600 ETH to Tornado Cash, where it was mixed with crypto from other sources, making it difficult for law enforcement to track the funds.

KyberSwap Exploit Still Haunts Project

In November of last year, attackers stole $47 million from Kyber Network’s KyberSwap, a multi-chain DEX aggregator, across multiple networks. The protocol’s total value locked (TVL) dropped 90%. After the hack, the project asked its users to immediately withdraw funds and started investigating the exploit.

Selling ETH might impact the price of the world’s second-largest digital asset, which has already fallen 2.9% over the past 24 hours. Currently, the cryptocurrency is trading at $2,644.61, down 45.78% from its all-time high of $4,891.70.

Read also : Bitfinex Hacker Faces 5 Years, Prosecutors Seek to Deter Crypto Crime

After Bitcoin (BTC) recovered to $69,000 and then dropped to $67,000, ETH also rose to $2,700 and then faced resistance near $2,800. This means ETH once again failed to break above the $3,000 price level.

KNC Price Nosedives

Kyber Network’s native token, KNC, has fallen sharply and is trading at $0.4506. The altcoin’s market cap is $83 million, and it is ranked 423 on CoinMarketCap. KNC has tumbled 30% since October of last year and is down 9% over the past seven days.

Read also : WazirX Hackers Are Still at It – Another $12M Vanishes into Tornado Cash

KNC is trading at a significant discount of 92.04% to its all-time high of $5.72 which was witnessed in April 2022 when the crypto market entered into a bearish phase.