Binance Recovers $5.8M in Funds Related to Ronin Bridge Exploit


Via a Twitter post on Friday, Binance CEO Changpeng Zhao said, called that the cryptocurrency exchange recovered $5.8 million spread across 86 accounts in digital assets floated by Lazarus Group. Last month, North Korean cybercriminal group allegedly stole 173,600 Ether (ETH) and 25.5 million USD Coin (USDC), which was worth over $600 million at the time and belonged to Axie Infinity’s Ronin Bridge.

From Friday the wallet address The Ronin-affiliated company has approximately $280 million worth of remaining digital assets. Blockchain forensics firm Elliptic recently revealed that the hackers sent the funds to centralized exchanges and the decentralized cryptocurrency trailmixer application, or DApp, Tornado Cash. Additionally, the hackers appear to have also exchanged the stolen USDC for Ethereum on decentralized exchanges or DEXs.

Possibly in response to suspected money laundering, Uniswap DEX announced it is screening addresses that could be linked to moving “hacked or stolen funds,” based on information from TRM Labs.

Similarly, Tornado Cash blocks wallets associated with illegal activities from accessing its DApp via Chainalysis.

However, as its founder Roman Semenov shared, the new screening process only blocks users from accessing the DApp interface and does not prevent the transfer of funds into the underlying smart contract.

Despite the incident, Sky Mavis, the creator of Axie Infinity, recently closed a $150 million funding round led by Binance. The funds will be used in part to compensate investors who suffered losses from the exploit. In addition, the remaining amounts are settled with Sky Mavis’ own money. If the stolen funds are not fully recovered within two years, the decentralized autonomous organization Axie will vote on next steps for the treasury.