Hackers stole over $140 million from six Brazilian banks this week and laundered up to $40 million through cryptocurrencies like Bitcoin, Ethereum, and Tether, shaking the crypto and banking sectors.
The hack was on C&M Software, a major service provider between the Central Bank of Brazil and local financial institutions. According to reports, the attack was enabled by an insider; an employee allegedly sold their login credentials for just $2,700, allowing hackers to access the system and drain reserve accounts.
On-chain analyst ZachXBT revealed the criminals used Bitcoin (BTC), Ethereum (ETH), and USD Tether (USDT) to move around $30–$40 million through Latin American crypto exchanges and OTC trading platforms.Â
This is one of the ways in which laundering is being done, and it shows the increased use of digital assets in high-profile financial crimes.
Analysts are sounding the alarm that this is another wake-up call on the dangers of centralized systems in the digital era. Cybersecurity experts note that centralized systems, where there is only a single point of access, are the most likely targets of AI-aided attacks.
According to Shielded Technologies CEO Eran Barak, criminals are now pursuing centralized systems to gain larger payoffs, as they have access to billions of assets and millions of user records. Barak has stressed that such hacks are less appealing with decentralized technologies, such as zero-knowledge proofs (ZKPs).
Unlike centralized systems, decentralized crypto tools compel hackers to target individual wallets, which greatly limits the possible payoff. With the increasing threats, analysts indicate that blockchain privacy tools will play a critical role in securing digital assets against the emerging cyber threats.
Also Read: Hacker Exploits ResupplyFi Bug to Steal $9.6M in Crypto
