A hacker returned after two years of inactivity and deposited $5.4M in stolen funds into Tornado Cash after swapping DAI for ETH.
An attacker linked to a previous theft has resumed onchain activity after nearly two years of dormancy.
Blockchain data shows stolen funds are now being deposited into Tornado Cash, with movements accelerating over recent days.
Dormant Theft Address Becomes Active Again
The theft address, identified as 0xFe7e039cC5034436C534d5E21A8619A574e206F8, showed no notable activity for almost two years.
This period of inactivity ended when funds began moving again onchain.
Blockchain records indicate the address transferred assets without warning. Observers noted the timing suggested a planned return rather than random movement.
The renewed activity drew attention due to the size of the funds involved. The address had previously been linked to stolen assets.
Funds Shifted From DAI to ETH
According to Specter, before interacting with Tornado Cash, the theft address moved about $5.8 million in DAI.
The transfer went to a newly created wallet. The fresh wallet then swapped the DAI for ETH, changing the asset type before further movement.
The attacker has resumed activity after nearly two years of dormancy and is now depositing stolen funds into Tornado Cash.
A total of $5.4M has been deposited so far.
Prior to this, the theft address transferred $5.8M DAI to a fresh wallet, which was subsequently swapped for… https://t.co/6hZWByeuRQ pic.twitter.com/67vx2CLk6U
— Specter (@SpecterAnalyst) January 26, 2026
Such swaps are often used to prepare funds for privacy tools. ETH is commonly used for Tornado Cash deposits.
After the swap, the ETH balance was broken into smaller portions. These portions were then sent to Tornado Cash contracts.
$5.4M Deposited Into Tornado Cash
Blockchain data shows that about $5.4 million has been deposited into Tornado Cash so far. The deposits followed a clear and repeated pattern.
The attacker sent 100 ETH in twenty separate transactions. Additional deposits included three transfers of 10 ETH.
Smaller deposits were also made. These included eight transfers of 1 ETH and nine transfers of 0.1 ETH.
This pattern is consistent with prior Tornado Cash usage. Such behavior is often meant to blend deposits with others.
The deposits occurred over multiple transactions instead of one large transfer. This approach can complicate transaction analysis.
Related Reading: Hacker Who Stole $282 million Last Week, Launders $63M Via Tornado Cash: CertiK
Onchain Tracking and Current Status
Despite the use of Tornado Cash, parts of the transaction trail remain visible. Analysts can still track deposits and timing patterns.
No withdrawal transactions linked to the attacker have been confirmed yet. The funds remain inside Tornado Cash pools.
The activity suggests a careful and delayed strategy. The long dormancy may have been intended to reduce attention.
Security observers continue to monitor related addresses. Any future withdrawals could reveal additional links.
The case adds to recent examples of delayed fund movements. It shows how stolen assets can resurface years later.
As of now, $5.4 million has been deposited. Further movements may follow if the attacker continues the activity.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Hacker "Turned Profitable" with $4.7 Million? Venus Protocol Attack Details Exposed, DeFi Vulnerability Risks Under Scrutiny Again
BNB Chain's Venus Protocol recently experienced an unusual DeFi attack that lasted nine months, ultimately resulting in approximately $4.7 million in losses. The attacker accumulated THE tokens through Tornado Cash and manipulated collateral asset prices, but ultimately suffered significant losses due to insufficient liquidity, raising concerns about DeFi security mechanisms. This incident exposed risk control deficiencies in Venus, highlighting the gap between audit gaps and actual risks.
GateNews22m ago
France's Crypto "Wrench Attack" Escalates: Teenagers Involved in Kidnapping Extortion, Bitcoin Holders' Safety Concerns Intensify
France has recently experienced a rise in cryptocurrency-related violent crime, with kidnapping cases involving crypto influencer families raising security concerns. Police have detained multiple suspects, and the cases indicate organized cross-border crime trends. Analysis suggests that the traceability of digital assets makes them attractive targets for criminals, and users need to prioritize asset security.
GateNews55m ago
DeFi Protocol Neutrl Frontend Suspected of Attack, Officials Recommend Users Pause Interaction and Revoke Authorization
Gate News reported that on March 19, DeFi protocol Neutrl issued a security alert on X platform, stating that its frontend was suspected of being attacked and the team is conducting an urgent investigation. For security reasons, Neutrl officially recommends that users suspend any interaction with the website pending further updates. Additionally, Neutrl reminds users to promptly visit Revoke.cash to revoke Permit2 authorization for the relevant addresses, and to check for any suspicious address authorizations and revoke them in a timely manner to reduce potential asset risks.
GateNews1h ago
Pudgy World Counterfeit! Malwarebytes Warns of Phishing Website Stealing Wallet Passwords
Cybersecurity company Malwarebytes has warned of a fake website "pudgypengu-gamegifts[.]live" impersonating the newly launched Pudgy World game, attempting to steal cryptocurrency wallet passwords. The attackers meticulously replicated 11 wallet interfaces, exploiting players' trust in connecting wallets. Experts recommend that users access official websites only through bookmarks and remain vigilant against any prompts requesting wallet passwords to be entered on web pages.
MarketWhisper1h ago
OpenClaw Developer Targeted by GitHub Phishing Attack, Fake Airdrop Website Steals Wallet Funds
Security platform OX Security disclosed that OpenClaw developers became targets of cryptocurrency phishing attacks. Attackers used fake GitHub accounts to direct developers to cloned websites to steal wallet assets. The malicious code was hidden and included browser data deletion functionality. The related accounts were quickly removed, and no victims have been confirmed yet.
GateNews2h ago
A user lost $85,000 in sNUSD due to signing a malicious Approve transaction.
Gate News reported that on March 19, according to GoPlus monitoring, a user suffered a phishing attack by signing a malicious Approve transaction, resulting in a loss of approximately 85,000 USD in sNUSD.
GateNews2h ago
