THORChain Halts Services Due to Ethereum Reorganization, Unexpectedly Disrupts Binance Hacker's Money Laundering Process

BlockBeats news, November 1st: Chainalysis stated in a post that THORChain recently experienced an unexpected delay in the money laundering process of stolen funds from the Binance attack due to an Ethereum chain reorganization. This chain reorganization caused THORChain to erroneously issue duplicate refunds to a user who deposited 10 ETH, triggering an emergency pause of the protocol and temporarily preventing all users from conducting cross-chain swaps, including money launderers associated with North Korean hacker groups.

Chainalysis said that before THORChain resumed service, attackers and other users were unable to swap through most of its cross-chain bridges.

Previously, the U.S. Federal Bureau of Investigation (FBI), the U.S. Secret Service (USSS), and the Internal Revenue Service Criminal Investigation division (IRS-CI) jointly called on THORNode operators, RPC node operators, instant swap platforms, DeFi service providers, and other virtual asset service providers to block transactions involving addresses related to the Binance hack, as well as fund flows derived from those addresses. The announcement also published wallet addresses directly or closely associated with related North Korean hacking activities.

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THORChain Halts Services Due to Ethereum Reorganization, Unexpectedly Disrupts Binance Hacker's Money Laundering Process

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