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A series of mysterious transfers
Blockchain analysis firm Arkham Intelligence wrote on X (formerly Twitter) that the U.S. government-controlled wallet received $19.3 million of the previously leaked funds within 24 hours of the initial incident. On-chain data shows that the returned funds consist of stablecoins USDC and Ethereum.
“Following the hack reported yesterday, $19.3 million was returned to US government addresses less than 24 hours after the initial address compromise. To date, 88% of the value of the compromised US dollar has been recovered. ”
After that, some of the assets started flowing into the new wallet. Since then, the total outflow has reached $6.1 million, including the Aave version that accrues interest. More USDC transfers followed as crypto enthusiasts warned of the leak. Most people in the community say this transfer is similar to a test flow that occurs before the main transaction. This was rolled out in July when the German government used test transfers before recording huge sales.
The German government's Bitcoin sale dampened market sentiment and pushed the asset's price below $55,000. Selling pressure drove many retail investors out of the market and bulls took positions. Some in the community liken the current relocation to a larger spill.
 Hacker stole $20 million
On October 24th, hackers leaked $20 million from a U.S.-controlled wallet. Blockchain detective ZachXBT flagged a transaction that raised some eyebrows. The funds seized by the US government were part of the assets leaked in the infamous Bitfinex hack in 2016. As a result of this incident, approximately 120,000 BTC was lost and subsequently seized by law enforcement agencies.
Arkham Intelligence wrote about the Oct. 24 robbery that the funds were laundered after being transferred to a new wallet. “The funds were moved to wallet 0x348 and the sale of funds for ETH was initiated. We believe that attackers have already begun laundering proceeds through suspicious addresses linked to money laundering services. ”
