Prisma Finance Hacker Redirects Stolen Funds to Tornado Cash Amidst Security Breach Fallout

Following the security breach of Prisma Finance, analysts from PeckShield have detected movements of assets linked to the exploit. The hacker, responsible for pilfering approximately $9 million from the protocol, transferred 1,840 Ethereum (ETH) valued at around $6.5 million to the Tornado Cash mixer.

PeckShield flagged the transactions, tracking the movement of funds from wallets involved in the criminal operation. Subsequently, the attacker communicated with Prisma Finance developers, expressing intentions to safeguard the funds before proceeding with their next steps.

The hacker’s message to the developers indicated concerns about project audits and smart contract security but did not mention returning the stolen funds. The security incident occurred on March 28, with Cyvers estimating losses of $9 million, while PeckShield reported losses of $11.6 million.

In the midst of this breach fallout, the hacker’s move to obscure the origin of the stolen assets through Tornado Cash highlights ongoing challenges in tracking and mitigating cryptocurrency-related crimes.