A wallet linked to the hacker behind the record Binance theft sold about $5 million worth of $PROM tokens into a nearly empty @Uniswap liquidity pool and received only about $71 in $ETH, acco
A wallet linked to the hacker behind the record Binance theft sold about $5 million worth of $PROM tokens into a nearly empty @Uniswap liquidity pool and received only about $71 in $ETH, according to on-chain data flagged by @lookonchain.
The wallet sold 908,793 PROM tokens into a Uniswap V2 pool with almost no liquidity and received 0.0316 ETH, according to ChainCatcher. Etherscan records show the swap took place on October 31, TechFlow reported.
The $5 million figure reflects the estimated market value of the tokens, not what they could realistically be sold for. Finbold noted that Uniswap V2 relies on liquidity pools to facilitate trading, and selling large quantities into shallow pools can trigger extreme slippage and price impact. In this case, the PROM pool did not have enough liquidity to absorb the sale.
Slippage is the gap between the expected price of a trade and the price actually received. When little liquidity is available, a large trade can receive a sharply reduced output, as EconoTimes explained.
According to Cryptonomist, Lookonchain said the PROM transaction was part of a broader effort by the hacker to sell altcoins.
The wallet is tied to the October 29 attack on @binance, which Binance said resulted in about $6.3 billion being stolen, in what appears to be the biggest crypto heist on record, according to Al Jazeera. Blockchain analytics firm TRM Labs said it assessed with high confidence that the attack was carried out by TraderTraitor, a North Korean hacking unit linked to the Lazarus Group.
The FBI on Saturday confirmed earlier suspicions from private investigators and analysts that TraderTraitor, a North Korea-affiliated group, was behind the hack, the Irish Times reported. The same report said Binance has replaced 90 per cent of the stolen amount and that some user withdrawals have resumed in phases.
North Korea routinely denies involvement in hacking, Al Jazeera noted.
The PROM sale is one of several transactions by wallets tied to the attacker since the breach. BitBase reported that hacker-linked wallets have also begun converting stolen Solana (SOL) into Bitcoin through Relay Protocol, following the FBI attribution.
Sources
Finbold: Binance hacker just made another $5 million mistakeThe Irish Times: Binance says 90% of losses from $6.3bn hack covered as FBI says North Korea behind attackAl Jazeera: Binance says $6.3bn stolen in biggest crypto heist in history
