According to on-chain analyst ZachXBT and data from Arkham, the perpetrators of the $290 million KelpDAO heist have initiated the laundering process of their illicitly obtained funds. Arkham's data reveals that the wallet controlling the exploit's proceeds made two significant transfers, totaling $117 million and $58 million, on the Ethereum blockchain during European hours on Tuesday. Furthermore, ZachXBT discovered that a portion of the stolen funds has started to be transferred across different blockchains, with approximately $1.5 million being bridged from Ethereum to Bitcoin via Thorchain and an additional $78,000 routed through the Umbra privacy protocol.
This cross-chain movement and use of privacy tools are indicative of the 'layering' stage in money laundering, suggesting that the attacker is preparing to further diversify the funds across multiple platforms. The KelpDAO breach is one of the most significant DeFi security incidents in recent months, triggering widespread negative sentiment and fears of contagion spreading to other blockchains.
In response to the hack, Layer 2 network Arbitrum froze $71 million in ether linked to the breach, a move that may pressure the exploiter to expedite the transfer and laundering of the remaining funds.