Degen

Hackers have come up with a new way to launder crypto

Fraudsters use arbitrage bots to disguise their transactions as mistakes made by inexperienced traders.

The scheme involves USDC, USDT, Aave and Uniswap and includes several stages:

- Deposit and Withdrawal via Aave
- Adding assets to the Uniswap pool
- Setting up trading pairs so that an arbitrage bot (controlled by hackers) could interfere with trades
- In one example, $220,000 USDC was exchanged for $5,272 USDT, formally recording a loss
- The lost amount is compensated by the profit that the bot of the attackers receives

This tactic is used, among others, by North Korean hackers from the Lazarus Group.

(https://www.dlnews.com/articles/defi/lazarus-sandwich-attacks-its-own-trades-to-launder-crypto/)

This new laundering tactic using arbitrage bots is a concerning development in the world of crypto. It's important for traders to stay vigilant and be aware of such fraudulent schemes. Let's keep an eye out for any suspicious activity and protect our investments.