[HN Gopher] The U.S. cracked a $3.4B crypto heist and Bitcoin's ...
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The U.S. cracked a $3.4B crypto heist and Bitcoin's anonymity
 
Author : gmays
Score  : 64 points
Date   : 2023-04-12 17:56 UTC (5 hours ago)
 
web link (www.wsj.com)
w3m dump (www.wsj.com)
 
| frank_bb wrote:
| [dead]
 
| paulpauper wrote:
| Zhong was caught because he made basic operational security
| errors, like address reuse (which is how he was caught by linking
| fraud wallet to exchange wallet) , static IP, using a KYC
| exchange in 2017 to convert BCH into BTC, etc. Not because
| Bitcoin was cracked. After being caught, Zhong voluntarily
| relinquished his passwords to encrypted wallets and other
| bitcoin, not that the crypto was cracked.
| 
| I wonder how the feds bypassed the statute of limitations on
| this. He was not identified until almost a decade after the
| theft. I am guessing his attempts at laundering the money and
| spending, reset the clock.
 
  | hnthrowmeaway wrote:
  | [dead]
 
  | badrabbit wrote:
  | I don't like that. Opsec burden on users is the fault if the
  | protocol. I see this thinking being pervasive in many areas. If
  | it was monero address reuse is not a concern or using kyc
  | exchange logs if the other currency was zcash for example.
  | 
  | Bitcoin is not a cipher it's the whole system so it is valid to
  | say a weakness in bitcoin was used to find the person.
 
  | iudqnolq wrote:
  | Very broadly speaking if you're hiding and law enforcement is
  | actively looking for you the statute of limitations pauses,
  | because the delay is morally your fault. (And actively looking
  | has a generous definition) That could be what happened here.
 
  | NotYourLawyer wrote:
  | > he was caught by linking fraud wallet to exchange wallet
  | 
  | How are you supposed to turn fraudulently obtained btc into
  | dollars without doing that?
 
    | nanidin wrote:
    | I believe you can buy envelopes of cash on the darknet -
    | though then you're probably at high risk of receiving
    | counterfeits or running into a sting.
 
      | jeffy90 wrote:
      | How do you get the physical envelopes of cash without
      | detection?
 
        | mynameishere wrote:
        | Use someone else's address and rob their mailbox.
 
  | Scoundreller wrote:
  | If he just hodled like everyone said to, he'd be free!
 
    | labster wrote:
    | Feds can't take crypto from your grasp if you have diamond
    | hands.
 
| psd1 wrote:
| Someone should tell 'em that "Mt. Gox" is short for "Magic the
| Gathering Online Exchange"
 
  | Cardinal7167 wrote:
  | The internet never forgets
 
| atdrummond wrote:
| The US invested so much effort into this because they were
| worried that their own agents were involved with the theft. This
| was all part of their effort to clean up the massive corruption
| post-Silk Road seizure.
 
  | nwah1 wrote:
  | On what basis do you make this statement?
 
    | kenbaylor wrote:
    | Likely on this basis:
    | https://www.bbc.com/news/technology-35038971.amp
 
      | cma wrote:
      | Non-amp link https://www.bbc.com/news/technology-35038971
 
| RadixDLT wrote:
| does wsj think anybody is going to read their articles if they
| block people from reading
 
  | theturtletalks wrote:
  | Go to Archive.to, paste in any paywalled article, use reader
  | mode on mobile and you can read it.
  | 
  | As long as these websites keep pushing the content to the
  | client (for SEO of course), it's fine for us to take it. If
  | they truly want to be paywalled, DRM that text and stop reaping
  | the benefits of Google search.
 
  | boeingUH60 wrote:
  | Well, it costs money to produce well-researched pieces like
  | this, and they have nearly 3 million paying digital subscribers
  | [1].
  | 
  | 1- https://www.adweek.com/media/the-wall-street-journal-grew-
  | di...
 
  | j45 wrote:
  | Even though I might not agree with it, paywalls are around for
  | this long for a reason.
 
| Anon84 wrote:
| https://archive.is/U7dSU
 
| phyzome wrote:
| Say it with me:
| 
| "Bitcoin is not, and never was, anonymous."
 
  | SahAssar wrote:
  | But used as intended (not via a KYC exchange) it is
  | pseudonymous, right?
 
  | fsckboy wrote:
  | better if you could go back and time and have said it early on
  | with the early crypto enthusiasts
 
    | berkle4455 wrote:
    | they didn't listen then and they don't listen now. waste of
    | effort.
 
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(page generated 2023-04-12 23:01 UTC)