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A hacker responsible for a significant May 2025 exploit on Coinbase has reportedly acquired 4,863 Ethereum (ETH) tokens, valued at approximately $12.5 million, using stolen funds. This audacious move brings their total known holdings across two wallets to over $45.36 million, highlighting a brazen pattern of on-chain activity despite ongoing efforts to recover the illicit gains.
Key Takeaways
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The hacker from the May 2025 Coinbase exploit purchased 4,863 ETH for $12.5 million using stolen funds.
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Their known wallet holdings now exceed $45.36 million, indicating active on-chain trading.
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The original Coinbase exploit, which involved insider collusion, led to user losses estimated at up to $400 million.
Hacker's Bold Ethereum Accumulation
On-chain transaction trackers have revealed that the individual or group behind the May 2025 Coinbase exploit has been actively converting stolen funds into Ethereum. The latest transaction involved the purchase of 4,863 ETH for $12.5 million (DAI) at a price of $2,569 per ETH. This acquisition significantly boosts their known holdings.
The May 2025 Coinbase Exploit Revisited
The May 2025 Coinbase exploit was a major security breach, reportedly resulting in losses of up to $400 million for users. Coinbase attributed the incident to collusion between fraudulent employees and the hackers. The exchange refused a $20 million demand from the hackers to keep the exploit quiet, instead promising to reimburse all affected users.
Unsuccessful Recovery Efforts and Brazen Trading
Despite efforts to apprehend the hackers and retrieve the stolen funds, these attempts have been unsuccessful. Instead, the hackers have engaged in an Ethereum accumulation spree. They have also reportedly sold a substantial amount of stolen digital assets for fiat currency. Approximately six weeks prior to the latest ETH purchase, trackers observed two wallets linked to the hackers selling 17,779 ETH for $45.48 million at $2,558 per token. Interestingly, the same individual later bought 207.17 ETH for $536,000 (DAI). These transactions were executed on THORChain, a decentralized exchange.
Security Implications for the Crypto Industry
The Coinbase hack underscores the persistent security challenges within the cryptocurrency industry. The continuous growth of the crypto market serves as a strong incentive for malicious actors seeking to exploit vulnerabilities and steal user funds. Coinbase has stated that it identified the contractors involved in the scam and committed to implementing measures to prevent future incidents.
Sources
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Coinbase Hacker Buys $12.5M of Ethereum with Stolen Funds, Coin Edition.
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Coinbase Hacker Buys 4,863 ETH in an Ethereum Accumulation Spree, CryptoRank.
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