How can exchanges find out Bitfinex funds if "hacker" runs them throught mixers? - page 2.

pooya87

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Quote from: rekinthis on August 06, 2016, 05:43:56 PM

Quote from: topiOleg on August 06, 2016, 05:33:42 PM

Quote from: magemist on August 06, 2016, 04:35:34 PM

This hacker was skilled in his craft and was a veteran with knowing how the system works and what were their flaws.

Did bitfinex even published what flaws were exploited to stole so many Bitcoins ? There had to be a way to get the Bitfinex private key/s. If not, inside job is possible instead.

well i really doubt it was an inside job because there were examples before that for such stuff you can be punished hard, though i have never heard anything about the way he stole it

it wouldn't be the first time an inside job happens in the exchanges leading to a hack. but even if it weren't that doesn't change anything about how bad they have performed in case of their own security.

BTC Loading

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Quote from: Katadin on August 06, 2016, 10:14:43 AM

If you run through the mixers several times or with several mixers, it is not possible to find out the trace.

I agree with you if the bitcoin is mixed with several mixers the is no how in this world that it will be detected(especially when you mix it little by little amount and send each mixed coin to a different address) Grin

AFTER THAT YOU CAN STILL EXCHANGE TO ALT-COIN THEN BACK TO BITCOIN THEN MIX AGAIN AFTER THAT SPEND IT LITTLE BY LITTLE

REMEMBER TO USE A VPN THAT DON'T KEEP TRACE AND DIFFERENT NON BLACKLISTED SOCKS5 BECAUSE BITCOIN SENT CAN BE TRACED TO AN IP ADDRESS

YOU NOW HAVE NO TRACE

HAPPY SPENDING[/color]

magemist

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Quote from: HaXX0R1337 on August 06, 2016, 08:28:55 PM

Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

You have to remember that was not one hacker that stolen those funds, there was more than one group of them,
exploiting the network. I doubt we will see dumping of them this year, they are too famous i think.

That is also a likely scenario. A group of them it would be more difficult to track especially if they hit the exchange all at once.
Nothing that was given yet with how they managed to do it still.
So still likely scenario is that it was an inside job as well. Undecided

asriloni

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Quote from: pereira4 on August 06, 2016, 09:29:17 AM

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

They will never find them because in my opinions they already think about the possibility of that and if they through mixers or not the ending will be same.

HaXX0R1337

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Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

You have to remember that was not one hacker that stolen those funds, there was more than one group of them,
exploiting the network. I doubt we will see dumping of them this year, they are too famous i think.

QuestionAuthority

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There are multiple ways to wash Bitcoin and you'll never find them.

By the way, I'm starting a new exchange. Just go to GiveMeAllYourMoneyDumbasses.com

Here's my photo of me and my coonskin hat so you know I'm legit.

rekinthis

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Quote from: topiOleg on August 06, 2016, 05:33:42 PM

Quote from: magemist on August 06, 2016, 04:35:34 PM

This hacker was skilled in his craft and was a veteran with knowing how the system works and what were their flaws.

Did bitfinex even published what flaws were exploited to stole so many Bitcoins ? There had to be a way to get the Bitfinex private key/s. If not, inside job is possible instead.

well i really doubt it was an inside job because there were examples before that for such stuff you can be punished hard, though i have never heard anything about the way he stole it

Quickseller

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The attacker stolen ~119kBTC, the largest mixer that I am aware of, bitmixer.io, can handle no more then 2,500BTC at a time, and some blockchain analytics companies are generally aware of many mixer's bitcoin addresses.

First of all, the attacker would likely not be able to launder all of the stolen BTC through mixers, because if he tried this, he would simply end up with a transaction that is easily linked to the theft. Secondly, if he tried to launder a small amount of the BTC through a mixer, then a blockchain analytics company would be able to figure out with decent certainty where the money "left" the mixer.

There have been some speculative reports that there was heavy futures selling on OkCoin prior to and durring the hack, and that the attacker used his inside prior knowledge of the attack in order to sell the futures market short in order to profit from the decline of price after the hack was disclosed. I am not so sure if this is plausible though because the fact that the amount of bitcoin in multisig addresses were massively dropping was public information, so people that were watching knew that a large hack was likely takingi place, they just might not have known who was getting hacked.

topiOleg

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Quote from: magemist on August 06, 2016, 04:35:34 PM

This hacker was skilled in his craft and was a veteran with knowing how the system works and what were their flaws.

Did bitfinex even published what flaws were exploited to stole so many Bitcoins ? There had to be a way to get the Bitfinex private key/s. If not, inside job is possible instead.

GamingOn

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That's an insane amount of coins to mix, and as others have said you simply receive coins that were tainted in a different way. I've got a genius way to mix coins, how about starting a 1k BTC give away and seeing how many idiots show up and then just issue the reward to myself and so I have plausible deniability where that 1k BTC came from?

Oh wait...

bjman

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I think that using a 'trusted' mixer is key. However, no mixer gives you 'clean' coins. It just gives you a different type of 'tainted' coins. Afterall, most coins a mixer has will be tainted coins to some extent.

magemist

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Quote from: data1 on August 06, 2016, 12:06:45 PM

hacker was not a newbie he will not do childish mistakes but we can not losse all the hope we should do till we lost him

This is very true. As childish minds make foolish mistakes. Roll Eyes

This hacker was skilled in his craft and was a veteran with knowing how the system works and what were their flaws. If he was a child/newbie he would of left bread crumbs at the scene of the crime and they would of caught him by now with making such stupid errors.

SmartIphone

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Quote from: BTCLovingDude on August 06, 2016, 11:52:13 AM

Quote from: SmartIphone on August 06, 2016, 11:33:23 AM

Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

Until now I haven't seen any news that an exchange has found stolen bitcoins when a user deposited on their exchange addresses, so I don't have any idea how would they find bitfinex stolen bitcoin, maybe after a while they can find but the hacker can exchange and withdraw them in less than a minute!!

they can tag the known addresses with dirty bitcoin on them in their code (it is a simple process) and so if they receive any funds from those knows addresses the exchange blocks the account immediately.

but the question here is about using a mixer, and i think if it is used in smaller amounts and used correctly then it can be possible to become untraceable.

Then let's imagine this scenario: If a hacker transfer the funds from A to B and then send from B to exchange address(C) then the exchange will not be able detect that the funds are from those stolen?
I'm not sure how they can detect but if it is only for direct payments from dirty addresses marked as to known dirty address then this is not secure to find the hackers.

calkob

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is bitfinix bust then i hadnt heard if they are actually gona get people their funds back?

CoinBreader

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Well agree he can put them thru mixers several times, split the amount to smallers pieces & start spending ,liquidating ,slowly & with out any trace,i dont believe finex will manage to get him/find him

data1

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hacker was not a newbie he will not do childish mistakes but we can not losse all the hope we should do till we lost him

magemist

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Quote from: SmartIphone on August 06, 2016, 11:33:23 AM

Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

Until now I haven't seen any news that an exchange has found stolen bitcoins when a user deposited on their exchange addresses, so I don't have any idea how would they find bitfinex stolen bitcoin, maybe after a while they can find but the hacker can exchange and withdraw them in less than a minute!!

That is impossible to trace funds from someone using a mixer service. That is what their entire business is built around on. It is next to none to find out where those bitfinex funds are now.

BTCLovingDude

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Quote from: SmartIphone on August 06, 2016, 11:33:23 AM

Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

Until now I haven't seen any news that an exchange has found stolen bitcoins when a user deposited on their exchange addresses, so I don't have any idea how would they find bitfinex stolen bitcoin, maybe after a while they can find but the hacker can exchange and withdraw them in less than a minute!!

they can tag the known addresses with dirty bitcoin on them in their code (it is a simple process) and so if they receive any funds from those knows addresses the exchange blocks the account immediately.

but the question here is about using a mixer, and i think if it is used in smaller amounts and used correctly then it can be possible to become untraceable.

SmartIphone

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Quote from: pereira4 on August 06, 2016, 09:29:17 AM

If a mixer receives coins that are from a known theft, as far as I know they remain neutral to the whole thing and limit themselves to do their job (mix the coins). There are certain sites like Helix that as far as I know are fully automatized, run on a onion tor website and deliver clean coins, after that I would say it's impossible to find, so he would proceed to sell in exchanges. Of course if he isn't a total idiot, he will not dump and will sell slowly so he doesn't get caught.

So in this situation... how can they find them? I wish they find them and people can recover funds but what if he runs coins through mixers?

Until now I haven't seen any news that an exchange has found stolen bitcoins when a user deposited on their exchange addresses, so I don't have any idea how would they find bitfinex stolen bitcoin, maybe after a while they can find but the hacker can exchange and withdraw them in less than a minute!!

Jeremycoin

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It's hard to do that, considering that Bitcoin is anonymous. And I think that they won't use that kind of public service, they will probably make their own mixer and use it by their own.

Topic: How can exchanges find out Bitfinex funds if "hacker" runs them throught mixers? - page 2. (Read 2260 times)