Axie Infinity: US Treasury identifies other Ethereum wallets from Ronin Network hack

The US Treasury is linking other Ethereum wallets to the $622 million Ronin Network hack. Last week, the United States Treasury Department linked North Korean hacking group Lazarus to an Ethereum wallet used in the theft of $622 million from the Ronin Network, a sidechain created for the game Axie. Infinity.

The ministry has now identified three other wallet addresses linked to the attack.

Today, the Treasury’s Office of Foreign Asset Control (OFAC) added the wallets to its list all related to the North Korean state. Over the past week, all three wallets have received large sums of funds stolen from the original wallet linked to the Ronin attack.

This latest move is significant because Tornado Cash, a transaction-mixing service that makes it harder to track the movement of cryptocurrencies between wallets, announced last week that it would automatically block all wallet addresses on the list. sanctions from OFAC.

One of the newly added wallet addresses began routing funds through Tornado Cash earlier today, ahead of the latest additions from the US Treasury. As a result of the Treasury’s decision, wallets will no longer be able to use Tornado Cash through the blockchain power feature.

The bridge that connects the Ronin Network to the Ethereum mainnet was exploited at the end of March, and around $622 million worth of ETH and USDC were stolen in the process. According to Sky Mavis, developer of Axie Infinity, the bridge was operated via “hacked private keys” which allowed the attacker to sign fraudulent transactions.

Sky Mavis has pledged to recover or refund stolen user funds, and has raised $150 million in new funds from investors to help with the process. Binance led the round, with participation from Animoca Brands, Andreessen Horowitz, Paradigm and others.

Earlier today, Binance CEO Changpeng “CZ” tweeted that the cryptocurrency exchange had recovered $5.8 million in funds sent to it from the attacker’s wallet. The funds had been split between 86 Binance accounts, according to Changpeng Zhao.

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