- Bitfinex has recovered approximately $314,000 in cash stolen during a 2016 hack.
- This recovery is part of Bitfinex’s ongoing efforts to repair the damage caused by the 2016 security breach, where around 120,900 Bitcoins were stolen.
- Bitfinex affirmed the company’s commitment to recovering as much of the stolen Bitcoin as possible and redistributing it to the affected customers.
When the cryptocurrency exchange Bitfinex fell victim to one of the most significant hacks in crypto history back in 2016, it seemed like the $3.6 billion (currently worth) that had been stolen was lost forever. Now, however, there’s a glimmer of hope on the horizon, with Bitfinex announcing they’ve recovered some of the assets stolen in the hack with the help of the US Department of Homeland Security.
In a recent press release, Bitfinex reported it has recovered approximately $312,219 in cash and 6.9 Bitcoin Cash (BCH)—valued at around $1,951—as part of the ongoing recovery efforts from the 2016 hack. The returned assets, a significant milestone in the recovery journey, were successfully secured and returned by the United States Department of Homeland Security.
Though these numbers may seem small compared to the colossal amount stolen (around 120,900 BTC), this recovery signifies a step forward in righting the wrongs done to Bitfinex’s clientele during the 2016 hack. The magnitude of this cyber heist is further underscored by the fact that the stolen coins, which were worth $72 million at the time, are now worth a staggering $3.6 billion.
The Long Road to Recovery
The recent recovery of assets is part of a series of continuous efforts Bitfinex has been making to mend the damage caused by the 2016 security breach. Working with law enforcement agencies and other investigative bodies, the crypto exchange is committed to recovering as much of the stolen Bitcoin as possible and redistributing it to their affected customers.
Paolo Ardoino, Bitfinex’s CTO, expressed satisfaction with the progress made so far. He stated, “We are extremely pleased to be able to reach another successful milestone in the recovery of assets stolen from Bitfinex in 2016.” He further reiterated Bitfinex’s resolve in redistributing the recovered assets to the holders of Recovery Right Tokens (RRTs), which were issued to users who had lost money in the hack.
The recovered assets might seem like just the tip of the iceberg, but they mark a crucial step forward for Bitfinex. As the exchange continues to work with law enforcement agencies in their relentless pursuit of the stolen Bitcoin, the hope is to redeem more RRTs and eventually repay all the affected customers.
Unraveling the Largest Crypto Heist
The recovery journey has not been smooth. After the hack, the criminals attempted to move the stolen cryptocurrency numerous times, a technique known as “chain hopping.” This process involves moving funds between exchanges with fewer know-your-customer (KYC) protocols, making it harder to track the stolen assets.
However, their efforts were in vain as U.S. law enforcement was eventually able to locate and seize the stolen funds, leading to the largest cryptocurrency seizure to date and unraveling a “sophisticated laundering technique.” Two individuals were subsequently arrested on charges of conspiracy to launder the stolen cryptocurrency.
While there is still much to be done to fully compensate those affected by the hack, Bitfinex’s consistent efforts and recent progress are a testament to their commitment to rectifying the past and ensuring the safety of their customers’ assets.
