Garden Bridge Hacker Launders Funds
- Hacker launders $11M from Garden bridge exploit.
- $6 million in ETH moved to Tornado Cash.
- No official statements from core developers or CEOs.
The Garden Bitcoin bridge hack resulted in an $11 million theft, with the perpetrator starting to launder funds through Tornado Cash, raising blockchain security concerns on platforms like Twitter.
The laundering activities highlight vulnerabilities in bridge protocols and could prompt calls for regulatory scrutiny, potentially affecting market trust and future bridge security measures.
The Garden bridge hacker has reportedly begun laundering $11 million of illicit gains via Tornado Cash. The attack primarily targeted an external solver’s private key, leaving the core protocol of Garden bridge unscathed.
Garden Bridge Exploit
The unnamed hacker is central to this event, laundering over $6 million in ETH and BNB through Tornado Cash. Currently, $1.8 million in SOL remains untouched within Solana’s wallet system.
Whale Alert reports significant cryptocurrency transactions and movements.PeckShieldAlert, Blockchain Security Firm, “The top three incidents were Garden Finance at $11M…”
Challenges for Blockchain Security
This incident poses significant challenges for blockchain security firms and the Garden Finance tweet on recent project developments and updates. Industry experts are closely monitoring the situation, though official responses remain scarce, complicating recovery efforts.
Despite US Treasury sanctions being lifted, Tornado Cash’s use in money laundering underscores ongoing regulatory scrutiny. Treasury News Release – Major announcement on financial actions investigates mixer-related illicit activities highlighting immediate concerns about risks tied to decentralized finance.
Lack of Official Responses
No verifiable statements are forthcoming from major stakeholders or security leaders. Attention is being drawn towards bridge security and the lack of comprehensive mitigation plans from Garden’s development team.
Historical incidents, like the Abracadabra DeFi exploit, showcase continual vulnerabilities in bridge protocols. Experts emphasize the necessity for robust security mechanisms and regulatory frameworks to prevent future breaches and financial losses. CertiKAlert warns about potential vulnerabilities in DeFi projects.
